Constructing and Assessing Income Statements Using Cost-to-Cost Method On March 15, 2012, Frankel Construction contracted to build a shopping center at a contract price of $120 million. The schedule of expected (which equals actual) cash collections and contract costs follow ($ millions): Year Cash Collections Cost Incurred 2012 $ 30 $ 30 2013 50 35 2014 40 20 Total $ 120 $ 85 (a) Calculate the amount of revenue, expense, and net income for each of the three years 2012 through 2014 using the cost-to-cost method. Rounding instructions: Round percentages to the nearest whole number. Use rounded percentages for remaining calculations. Round revenue and income to the nearest whole number. Enter $ answers in millions. Cost-to-Cost Method Percent Costs of total Revenue Year incurred expected costs recognized 2012 $ 30 100% XS 30 x $ OX 2013 35 0 % X 50 15 x 2014 20 0% X 40 X 20 X $85 $120 $35 Income