Question 8 5 pts Royal Ship Systems signed a contract during Year 1 for $4,800,000 to build a 120-foot yacht for a customer. Royal uses the completed contract method of revenue recognition. Royal completed 40% of the work during Year 1 and the remaining 60% during Year 2. The cost of acquired production materials during Year 1 by Royal was $1,625,000 and an additional $2,000,000 during Year 2. Royal billed the customer $1,775,000 in Year 1 and the final $3,025,000 in Year 2. The customer paid $1,520,000 in Year 1, $2,780,000 in Year 2, and $500,000 in Year 3. Answer the following questions (be sure to use $ and a number in your response): $255,000 What is the customer's accounts receivable balance at the end of Year 1? $1,625,000 What is the balance of the production in progress accounts at the end of Year 1? $0 Using the completed contract method of accounting, what revenue is recognized in Year 1? Using the completed contract method of accounting, in what Year(s) is final revenue recognized? Is there a difference between the completed contract and percentage of completion methods for reporting revenue? Answer Yes or No only. Question 8 5 pts Royal Ship Systems signed a contract during Year 1 for $4,800,000 to build a 120-foot yacht for a customer. Royal uses the completed contract method of revenue recognition. Royal completed 40% of the work during Year 1 and the remaining 60% during Year 2. The cost of acquired production materials during Year 1 by Royal was $1,625,000 and an additional $2,000,000 during Year 2. Royal billed the customer $1,775,000 in Year 1 and the final $3,025,000 in Year 2. The customer paid $1,520,000 in Year 1, $2,780,000 in Year 2, and $500,000 in Year 3. Answer the following questions (be sure to use $ and a number in your response): $255,000 What is the customer's accounts receivable balance at the end of Year 1? $1,625,000 What is the balance of the production in progress accounts at the end of Year 1? $0 Using the completed contract method of accounting, what revenue is recognized in Year 1? Using the completed contract method of accounting, in what Year(s) is final revenue recognized? Is there a difference between the completed contract and percentage of completion methods for reporting revenue? Answer Yes or No only