Required information [The following information applies to the questions displayed below.] Beavis Construction Company was the low bidder on a construction project to build an earthen dam for $1,780,000. The project was begun in 2017 and completed in 2018. Cost and other data are presented below: 2017 2018 Costs incurred during the year $ 458,500 $ 1,080,000 Estimated costs to complete 851,500 0 Billings during the year 495,000 1,285,000 Cash collections during the year 395,000 1,440,000 Assume that Beavis recognizes revenue on this contract over time according to percentage of completion.

Required: Compute the amount of gross profit recognized during 2017 and 2018.