On June $15,2023,49$ers construction signed a $ $360000$ contract to build a small building. $49$ers estimated that the total cost would be $ $320,000.$ Construction started immediately because the required completion date was August $31,2024.49$ers's relevant data relating to this construction project were as follows:

$20232024$

Actual costs incurred during each year $ $120,000$ $ $204,000$

Estimated costs to complete $ $200,000$ $ $0$

Instructions:

a$.$ Using the percentage$-$of$-$completion method, calculate how much gross profit $49$ers should recognize each year.

b$.$ Using the completed contract method, calculate how much gross profit $49$ers should recognize each year.