ter 5 -Long-Term Contracts Camey Builders, Inc. is constructing a new dining hall for the local university. The contract price is S5,200,000 and estimated costs are $4,200,000. The project is expected to take three years. Camey is able to reasonable estimate costs throughout the contract. Presented below is a summary of costs billings, and collections for the three years. Year l $2,800,000 $1,600,000 Year 2 Year 3 Actual Costs per Year $1.400,0 Estimated Costs to Complete Billings Collections a. Prepare the journal entries to record costs, billings and collections for Years 1, 2, and 3. b. Compute the gross profit for each year and record the journal entry to reflect revenues, expenses S1,600,000 $1.600,000 $1,500,000 SO $2,200,000 S1,400,000 $1,400,000 $2,000,000 $1.800,000 and gross profit. c. Prepare the balance sheet disclosures for Years 1 and2 d. Assume that it is not possible to make reasonable estimates of progress during the contract. How would the journal entries for revenue and expense differ? How would the balance sheet disclosures differ