Suppose the estimated costs to complete at the end of $2025$ are $$160$ million instead of $$40$ million. Compute the amount of revenue and gross profit or loss to be recognized in $2025,$ assuming Sanderson recognizes revenue over time according to percentage of completion. On June $15,2024,$ Sanderson Construction entered into a long$-$term construction contract to build a baseball stadium in Washington,

D$.$C$.,$ for $$330$ million. The expected completion date is April $1,2026,$ just in time for the $2026$ baseball season. Costs incurred and

estimated costs to complete at year$-$end for the life of the contract are as follows $($ $ in millions$)$:

Costs incurred during the year

Estimated costs to complete as of December $31$

Required:

Compute the revenue and gross profit that Sanderson will report in its $2024,2025,$ and $2026$ income statements related to this

contract, assuming Sanderson recognizes revenue over time according to percentage of completion.

Compute the revenue and gross profit that Sanderson will report in its $2024,2025,$ and $2026$ income statements related to this

contract, assuming this project does not qualify for revenue recognition over time.

Suppose the estimated costs to complete at the end of $2025$ are $$160$ million instead of $$40$ million. Compute the amount of

revenue and gross profit or loss to be recognized in $2025,$ assuming Sanderson recognizes revenue over time according to

percentage of completion.