QUESTION BELOW

Question 1 (6 points) Assume that Joey Company agreed in February 2020 to construct an electricity generating facility for Tribbiani Energy, a utility serving the Boston area. The contract price of $2,000 is to be paid as follows: $800 at the time of signing; $400 on December 31, 2020; and $800 at completion in May 2021. Joey incurred the following costs in constructing the power plant: $400 in 2020, and $1,200 in 2021. The construction of the power generating facility is considered to be a single performance obligation. a. Compute the amount of Joey's revenue, expense, and income for both 2020 and 2021 assuming that its performance obligation is fullled over time and that the costs it incurs are reective of the value conveyed to Tribbiani. (3 points) b. Compute the amount of Joey's revenue, expense, and income for both 2020 and 2021 assuming that its performance obligation to construct the facility is fullled at a point in time (at the completion of construction). (3 points)