The company signed a $1,800,000 contract to build an environmentally friendly access trail to Timpanogas Caves. The project was expected to take approximately three years.

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The company signed a $1,800,000 contract to build an environmentally friendly access trail to Timpanogas Caves. The project was expected to take approximately three years. The following information was collected for each year of the project, Year 1, Year 2, and Year 3:

The company uses the percentage-of-completion method of computing revenue from long-term construction contracts. Assume that the company employs the cost-to-cost method of estimating the percentage of completion. Make the journal entries to record revenue and cost for the construction project'
(1) Year 1,
(2) Year 2, and
(3) Year3.

Expected Expended Additional Constructed Cost to Completion Trail Feet Additional Trail Feet to Be Constructed Cost during the Year during the Year Year 1 Year 2 Year 3 $280,000 390,000 370,000 $760,000 380,000 9,800 0,200 10,000 20,300 10,000