Scenario 1

Contract price	100,000
	2022	2023	2024
Costs incurred during the year	40,000	30,000	20,000
Costs incurred to date
+Estimated costs to complete	52,000	21,000	0
Estimated total costs
Estimated profit/loss for entire contract
% complete (do not round)
Revenue this period (based on progress)
Profit this period
Costs of construction (COGS=revenue-profit)
Billings	30,000	50,000	20,000
Cash collection	20,000	45,000	35,000

Provide the journal entries to record costs incurred, billings, and cash collections for 2022, 2023, and 2024.

Provide the journal entries to record revenue if revenue is recognized at completion for all three years (if any)

Provide the journal entries to record revenue if revenue is recognized over time for all three years (if any)

Provide the closing journal entry for the year the asset is transferred to buyer

Financial statements presentation (Revenue recognition at completion of project)

Balance sheet

CIP		Billings		A/R

What is included in the Balance Sheet for the three years?

What is included in the Income Statement for the three years?

Financial statements presentation (Revenue recognition over time)

Balance sheet (Revenue recognition over time)

CIP		Billings		A/R

What is included in the Balance Sheet for the three years?

What is included in the Income Statement for the three years?

Thank you so much! Please show working notes for the question so I know what math steps you took to get the numbers for the final answers for the problems!