Problem $12-33($LO$.3)$

David is the sole proprietor of a real estate construction business. The business uses the

completed contract method on a particular contract that requires $16$ months to complete.

The contract is for $$500,000,$ with estimated costs of $$300,000.$ At the end of $2020,$

$$180,000$ of costs had been incurred. The contract is completed in $2021,$ with the total cost

being $$295,000.$

Determine the amount of adjustments for AMT purposes for $2020$ and $2021.$

For $2020,$ the AMT adjustment is$.$

For $2021,$ the AMT adjustment is

$$ of $

$1x.$

$.$

:$.of$ $$,x.$