Required:

Williamson, LLC$,$ paid insurance premiums of $$6,720$ on December $1,20$X$1.$ These premiums covered a two$-$year period beginning on that date. What amount, from this payment, should the corporation show as insurance expense for the year $20$X$1?$

Taylor Moore buys and sells real estate. On December $31,20$X$1,$ her inventory of property included a tract of undeveloped land for which she had paid $$945,000.$ The fair market value of the land was $$1,045,000$ at that date. How much income should Moore report for $20$X$1$ in connection with this land?

Madison Building Company signed a contract with a customer on November $1,20$X$1.$ The contract called for construction of a building to begin by December $31,20$X$1,$ and to be completed by December $31,20$X$2.$ The contract price was $$9\mathrm{.}9$ million. Madison estimated that the building would cost $$6\mathrm{.}9$ million. On November $15,20$X$1,$ the customer was required to make an advance payment of $$1,045,000.$ No work was done on the project until January $20$X$2.$ How much income from the project should Madison report in $20$X$1?$