this is a really hard problem that i need help with. i tried to show everything that will need to be worked on.
On February 1, 2021, Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of $8,360,000. During 2021, costs of $2,120,000 were incurred with estimated costs of $4,120,000 yet to be incurred. Billings of $2,620,000 were sent, and cash collected was $2,370,000. In 2022, costs incurred were $2,620,000 with remaining costs estimated to be $3,780,000. 2022 billings were $2,870,000 and $2,595,000 cash was collected. The project was completed in 2023 after additional costs of $3,920,000 were incurred. The company's fiscal year-end is December 31. Arrow recognizes revenue over time according to percentage of completion. Required: 1. Compute the amount of revenue and gross profit or loss to be recognized in 2021, 2022, and 2023 using the percentage of completion method. 23. Prepare journal entries for 2021 to record the transactions described (credit "various accounts" for construction costs incurred). 2b. Prepare journal entries for 2022 to record the transactions described (credit "various accounts" for construction costs incurred). 3a. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2021. 3b. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2022. Complete this question by entering your answers in the tabs below. Req 1 Req 2A Req ZB Req 3A Req 33 Compute the amount of revenue and gross prot or loss to be recognized in 2021, 2022, and 2023 using the percentage of completion method. (Do not round intermediate calculations. Loss amounts should be indicated with a minus sign. Round your nal answers to the nearest whole dollar.) : Actual costs to date I Estimated total costs u/o complete to date Percentages of completion Choose numerator Choose denominator % complete to date Actual costs to date Estimated total costs 2021 0 2022 0 2023 0 2021 To date Recognized in prior years Recognized in 2021 Construction revenue $ 0 Construction expense EA 0 Gross profit (loss) EA 0 2022 To date Recognized in prior years Recognized in 2022 Construction revenue $ 0 Construction expense O Gross profit (loss) $ 0 2023 To date Recognized in prior years Recognized in 2023 Construction revenue $ 0 Construction expense EA 0 Gross profit (loss) $ 0 Prepare journal entries for 2021 to record the transactions described (credit "various accounts" for construction costs incurred). (If n entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations. Round your answers to the nearest dollar amount.) View transaction list View journal entry worksheet X ..: No Year General Journal Debit Credit 1 2021 Construction in progress Various accounts 2 2021 Accounts receivable Billings on construction contract 3 2021 Cash Accounts receivable 4 2021 Cost of construction Construction in progress Revenue from long-term contracts Prepare journal entries for 2022 to record the transactions described (credit "various accounts\" for construction costs incu entry is required for a transaction/event, select "No journal entry required" in the rst account eld. Do not round interme calculations. Round your answers to the nearest dollar amount.) View transaction list View journal entry worksheet E /' 1 2022 Construction in progress Various accounts /' 2 2022 Accounts receivable Billings on construction contract /' 3 2022 Cash Accounts receivable /' 4 2022 Cost of construction Construction in progress Revenue from long-term contracts Chrome File Edit View History Bookmarks People Tab Window Help M B 87% [4 : Sun Nov 15 10:57 PM Q Connect + C + getproctorio.com/secured#lockdown Proctoring Enabled: Chapter 06 GRADED Exercises, 11... i Saved Help Save & Exit Submit Q 3 Req 1 Req 2A Req 2B Req 3A Req 3B Prepare a partial balance sheet to show the presentation of the project as of December 31, 2021. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) 5 points Balance Sheet (Partial) At December 31, 2021 01:00:47 Current assets: Accounts receivable Construction in progress References Billings in excess of costs less loss Costs and profit in excess of billings Current liabilities: Billings on construction contract Construction in progress Billings in excess of costs less loss Req 3B > Graw Education lays Red NOV 10 3 15Req 1 Req 2A Req ZB Prepare a partial balance sheet to show the presentation of the project as of December 31, 2021. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Current assets: Accounts receivable Construction in progress Billings in excess of costs less loss Costs and prot in excess of billings Current liabilities: Billings on construction contract Construction in progress Billings in excess of costs less loss Prepare a partial balance sheet to show the presentation of the project as of December 31, 2022. (Do not round intermediate calculations. Round your answers to the nearest dollar amount.) Accounts receivable Construction in progress Current liabilities: Billings on construction contract
