Question: McCombs Contractors received a contract to construct a building for a price of $ 700,000, and the company determined that its performance obligation was satisfied

McCombs Contractors received a contract to construct a building for a price of $ 700,000, and the company determined that its performance obligation was satisfied over time. Other information relating to the contract is as follows:

2017 2018
Costs incurred during the year 150,000 242,000
Estimated costs to complete 350,000 168,000
Billings during the year 120,000 250,000
Cash collections during the year 100,000

260,000
Required: Compute the amount of gross profit recognized during 2017 and 2018

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