Refer to the data in problem P3-7 for Jensen Construction Company. Assume Jensen uses the percentage-of-completion method of accounting for this project.

Required:
Prepare the journal entry that Jensen would make at the end of 2015 and 2016 to appropriately recognize the revenue, expense, and profit (loss) on the project for these two years if the estimated costs to complete the project were $3,045,000 instead of $1,645,000 as of the end of 2015 as previously estimated. Assume that during 2016 actual costs incurred were as previously estimated (i.e., $3,045,000) at the end of 2015.