Pharoah Construction Inc., which has a calendar year end, has entered into a non-cancellable fixed-price contract...

 

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Pharoah Construction Inc., which has a calendar year end, has entered into a non-cancellable fixed-price contract for $2.7 million beginning September 1, 2023, to build a road for a municipality. It has been estimated that the road construction will be complete by June 2025. The following data pertain to the construction period. 2023 2024 2025 Costs to date $776,000 $1,642,800 $2,264,000 Estimated costs to complete 1,649,000 577,200 0 Progress billings to date (non-refundable) 848,000 2,214,000 2,700,000 Cash collected to date 676,000 2,077,000 2,700,000 (a) Your answer is incorrect. Using the percentage-of-completion method, calculate the estimated gross profit that would be recognized during each year of the construction period. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses e.g. (45). Round answers to O decimal places, e.g. 5,275.) Gross profit/(loss) 2023 1A 2024 1A 2025 Pharoah Construction Inc., which has a calendar year end, has entered into a non-cancellable fixed-price contract for $2.7 million beginning September 1, 2023, to build a road for a municipality. It has been estimated that the road construction will be complete by June 2025. The following data pertain to the construction period. 2023 2024 2025 Costs to date $776,000 $1,642,800 $2,264,000 Estimated costs to complete 1,649,000 577,200 0 Progress billings to date (non-refundable) 848,000 2,214,000 2,700,000 Cash collected to date 676,000 2,077,000 2,700,000 (a) Your answer is incorrect. Using the percentage-of-completion method, calculate the estimated gross profit that would be recognized during each year of the construction period. (Enter negative amounts using either a negative sign preceding the number eg. -45 or parentheses e.g. (45). Round answers to O decimal places, e.g. 5,275.) Gross profit/(loss) 2023 1A 2024 1A 2025