Penobscot Nuclear has a contract to build a state of the art breeder reactor in Maine. This will be the first reactor built in the U.S. in many years and the only breeder reactor in the country. The contract cost is $1 billion and is expected to take 4 years to complete.

Here are some relevant facts (all numbers in the table are in millions):

Contract price: $1,000 Million

	2016	2017	2018	2019
construction cost incurred in the current year:	$100	$300	$400	$180
Estimated cost to complete the contract at the end of the year:	$700	$400	$450	$0
Billing on the contract in the current year	$120	$340	$400	$140
Dollars collected on billings in the current year	$80	$360	$320	$240

Complete the required jorunal entries for each year using the percentage-of-completion contract method. also show the relevant balance sheet and income statement presentation, and complete T-accounts for construction-in-progress and billings-on-contract accounts.

Penobscot Nuclear Balance sheet December 31, 2015

Cash $800

Retained Earnings $ 300 Common Stock 500 Total Equity $ 800