P Miller Contractors received a contract to construct a healthcare facility for $3,500,000. Construction began in 2024 and was completed in 2025. Costs and other data are presented below:

	2024		2025
Cost incurred during the year	1,500,000		1,300,000
Estimated costs to complete	1,200,000		-
Billings during the year	1,700,000		1,800,000
Cash Collections during the year	1,000,000		2,500,000

Assume that P Miller Contractors uses the percentage-of-completion method for revenue recognition.

1. Compute the amount of gross profit recognized during 2024 and 2025.

2. Make all journal entries to record costs, billings, collections and profit recognition for 2024 and 2025. Round your answers to the nearest whole dollar.