Case 3 Chapter Five Material 30 points

pictures above is the data used

In 2017, the Smith Construction company entered into a contract to construct a road for San Bernardino County for $15,000,000. The road was completed in 2019. The following information is related to the contract:

Required:

1)Calculate the amount of gross profit to be recognized in each of the three years. Provide the analysis supporting the gross profit amount.

2) Prepare all necessary journal entries for each of the three years.

Further, assume the following information instead of that presented above:

Required:

3) Calculate the amount of gross profit to be recognized in each of the three years. Provide the analysis supporting the gross profit amount.

Next, use the following information instead of that presented above:

Required:

4) Calculate the amount of gross profit to be recognized in each of the three years. Provide the analysis supporting the gross profit amount.

Please do an excel file and show how you did calulations. Thank you :)

In 2017, the Smith Construction company entered into a contract to construct a road for San Bernardino County for $15,000,000. The road was completed in 2019. The following information is related to the contract: 2017 3,900,000 7,600,000 3,600,000 3,200,000 3,900,000 2018 4,100,000 4,625,000 3,900,000 3,600,000 8,000,000 2019 4,415,000 Costs incurred Estimated costs to complete Billings during year Cash collections during year Cumulative costs to date 7,500,000 8,200,000 12,415,000 Required: 1) Calculate the amount of gross profit to be recognized in each of the three years. Provide the analysis supporting the gross profit amount. 2) Prepare all necessary journal entries for each of the three years. Further, assume the following information instead of that presented above: 2017 3,750,000 6,375,000 2018 3,200,000 5,050,000 2019 4,975,000 Costs incurred Estimated costs to complete Required: 3) Calculate the amount of gross profit to be recognized in each of the three years. Provide the analysis supporting the gross profit amount