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Star Construction Corp. has a contract to construct a building for $10,890,200. The building is controlled by the customer throughout the term of the
Star Construction Corp. has a contract to construct a building for $10,890,200. The building is controlled by the customer throughout the term of the contract. Total costs to complete the building were originally estimated at $8,817,800. Construction commenced on 4 February 20X5. Actual costs were in line with estimated costs for 20X5 and 20X6. In 20X7, actual costs exceeded estimated costs by $134,200. Total construction costs incurred in each year were as follows: 20x5 20x6 20x7 $2,685,600 $4,476,000 $1,790,400 Billings (and cash collections) each year were as follows: 20x5 $2,287,500 20X6 20x7 $4,873,400 $3,729,300 Required: 1. Calculate the revenues and gross profit for the construction project for each of the three years assuming the company uses inputs to measure progress. (Round Intermediate calculations to 2 decimal places. Round final answers to nearest whole dollars.) Year 20X5 20X6 Revenue Gross Profit 20X7 Total
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