Quickbuild Ltd entered into a two-year contract on 1 January 20X7 at a contract price of 250,000. The estimated cost of the contract was 150,000. At the end of the first year the following information was available:

contract costs incurred totalled 70,000

inventories still unused at the contract site totalled 10,000

progress payments received totalled 60,000

other non-contract inventories totalled 185,000.

Required:

(a) Calculate the statement of comprehensive income entries for the contract revenue and the contract costs.

(b) Calculate entries in the statement of financial position for the amounts due from construction contracts and inventories.