Problem 18-11 On July 1, 2020, Sheffield Construction Company Inc. contracted to build an office building for Gumbel Corp. for a total contract price of $1,900,000. On July 1, Sheffield estimated that it would take between the building was deemed substantially completed. Following are accumulated contract costs incurred, estimated costs to complete the contract, and accumulated billings to Gumbel for 2020, 2021, and 2022. and 3 years to complete the building. On December 31, 2022, Contract costs incurred to date Estimated costs to complete the contract Billings to Gumbel At 12/31/20 $266,400 1,213,600 300,000 At 12/31/21 $1,185,900 824,100 1,100,000 At 12/31/22 $2,109,700 -0- 1,850,000 (a) Using the percentage-of-completion method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020, 2021, and 2022. (Ignore income taxes.) (If answer is 0, please enter 0. Do not leave any field blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number e.g.-45 or parenthesis e.g. (45).) 2020 Problem 18-11. List Of Accou... % 2021 edugen.wileyplus.com/edugen/shared... O Accounts Receivable Advertising Expense Allowance for Sales Returns and Allowances Billings on Construction in Process Cash Commission Expense Construction in Process Construction Expenses Cost of Goods Sold Cost of Installment Sales Deferred Gross Profit Delivery Expense Discount on Notes Receivable Estimated Inventory Returns Freight-Out Gain on Repossession Income Summary Installment Accounts Receivable Installment Sales Revenue Inventory Inventory on Consignment Loss from Long-Term Contracts Loss on Repossession Materials, Cash, Payables No Entry Notes Receivable Operating Expenses Parts Expense Purchases Realized Gross Profit Rent Revenue Repossessed Merchandise Retained Earnings Returned Inventory Revenue from Consignment Sales Revenue from Franchise Fees Revenue from Long-Term Contracts Sales Discounts Sales Discounts Forfeited Sales Returns and Allowances Sales Revenue Service Revenue Unearned Franchise Fees Unearned Sales Revenue Unearned Service Revenue Unearned Rent Revenue Unearned Warranty Revenue Warranty Expense Warranty Liability 2022 $ $ (b) Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020, 2021, and 2022. (Ignore income taxes.) (If answer is 0, please enter 0. Do not leave any fields blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number e.g. -45 or parenthesis e.g. (45).) 2021 2022 Total Profit / (Loss) on Contract Contract Price Profit / (Loss) Recognized in 2021 Profit / (Loss) Recognized in 2022 Costs Incurred Problem 18-11 On July 1, 2020, Sheffield Construction Company Inc. contracted to build an office building for Gumbel Corp. for a total contract price of $1,900,000. On July 1, Sheffield estimated that it would take between the building was deemed substantially completed. Following are accumulated contract costs incurred, estimated costs to complete the contract, and accumulated billings to Gumbel for 2020, 2021, and 2022. and 3 years to complete the building. On December 31, 2022, Contract costs incurred to date Estimated costs to complete the contract Billings to Gumbel At 12/31/20 $266,400 1,213,600 300,000 At 12/31/21 $1,185,900 824,100 1,100,000 At 12/31/22 $2,109,700 -0- 1,850,000 (a) Using the percentage-of-completion method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020, 2021, and 2022. (Ignore income taxes.) (If answer is 0, please enter 0. Do not leave any field blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number e.g.-45 or parenthesis e.g. (45).) 2020 Problem 18-11. List Of Accou... % 2021 edugen.wileyplus.com/edugen/shared... O Accounts Receivable Advertising Expense Allowance for Sales Returns and Allowances Billings on Construction in Process Cash Commission Expense Construction in Process Construction Expenses Cost of Goods Sold Cost of Installment Sales Deferred Gross Profit Delivery Expense Discount on Notes Receivable Estimated Inventory Returns Freight-Out Gain on Repossession Income Summary Installment Accounts Receivable Installment Sales Revenue Inventory Inventory on Consignment Loss from Long-Term Contracts Loss on Repossession Materials, Cash, Payables No Entry Notes Receivable Operating Expenses Parts Expense Purchases Realized Gross Profit Rent Revenue Repossessed Merchandise Retained Earnings Returned Inventory Revenue from Consignment Sales Revenue from Franchise Fees Revenue from Long-Term Contracts Sales Discounts Sales Discounts Forfeited Sales Returns and Allowances Sales Revenue Service Revenue Unearned Franchise Fees Unearned Sales Revenue Unearned Service Revenue Unearned Rent Revenue Unearned Warranty Revenue Warranty Expense Warranty Liability 2022 $ $ (b) Using the completed-contract method, prepare schedules to compute the profit or loss to be recognized as a result of this contract for the years ended December 31, 2020, 2021, and 2022. (Ignore income taxes.) (If answer is 0, please enter 0. Do not leave any fields blank. If an amount should be deducted then enter the amount using either a negative sign prececeding the number e.g. -45 or parenthesis e.g. (45).) 2021 2022 Total Profit / (Loss) on Contract Contract Price Profit / (Loss) Recognized in 2021 Profit / (Loss) Recognized in 2022 Costs Incurred