Please help Thompson Construction began a construction project in 2018 The contract price was $1,250,000, and the estimated costs were $1,000,000 Data for each year of the contract are as follows 2019 2020 2021 Costs incurred during the year $250,000 $600,000 $190,000 Estimated costs to complete 750,000 212,500 0 Partial billings 375,000 500,000 375,000 Collections 187,500 469,000 593,500 Required 1) Prepare ALL journal entries for 2019 2020 2021 2) Prepare 2019 2020 2021 balance sheet and income statement as illustrated in class examples 3) What is the normal balance of Construction in Progress 4) Why do you have to close Construction in Progress and Partial Billings at the end of the contract 5) How complete is the contract on a contract to date basis at the end of 2020

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Question: Please help!!!! Thompson Construction began a construction project in 2018. The contract price was $1,250,000, and the estimated costs were $1,000,000. Data for each year

Please help!!!!

Thompson Construction began a construction project in 2018. The contract price was $1,250,000, and the estimated costs were $1,000,000. Data for each year of the contract are as follows:

	2019	2020	2021
Costs incurred during the year	$250,000	$600,000	$190,000
Estimated costs to complete	750,000	212,500	-0-
Partial billings	375,000	500,000	375,000
Collections	187,500	469,000	593,500

Required:

1)Prepare ALL journal entries for 2019/2020/2021

2) Prepare 2019/2020/2021 balance sheet and income statement as illustrated in class examples

3) What is the normal balance of Construction in Progress?

4) Why do you have to "close" Construction in Progress and Partial Billings at the end of the contract?

5) How complete is the contract on a contract to date basis at the end of 2020?

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