# I got the balance sheet for 2021 correct (3A), but I can’t figure the rest out. Any help would b

I got the balance sheet for 2021 correct (3A), but I can&#39;t figure the rest out. Any help would be appreciated.

Edit: I believe that cost incurred for 2022 includes 2021, so I don&#39;t think its incremental but I&#39;m not 100% On February 1, 2021, Arrow Construction Company entered into a three-year construction contract to build a bridge for a price of \$8,450,000. During 2021, costs of \$2,180,000 were incurred, with estimated costs of \$4,180,000 yet to be incurred. Billings of \$2,716,000 were sent, and cash collected was \$2,430,000. In 2022, costs incurred were \$2,716,000 with remaining costs estimated to be \$3,870,000. 2022 billings were \$2,966,000, and \$2,655,000 cash was collected. The project was completed in 2023 after additional costs of \$3,980,000 were incurred. The company&#39;s fiscal year-end is December 31. This project does not qualify for revenue recognition over time. Required: 1. Calculate the amount of revenue and gross profit or loss to be recognized in each of the three years. 2a. Prepare journal entries for 2021 to record the transactions described (credit “various accounts” for construction costs incurred). 2b. Prepare journal entries for 2022 to record the transactions described (credit “various accounts” for construction costs incurred). 3a. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2021. 3b. Prepare a partial balance sheet to show the presentation of the project as of December 31, 2022. Calculate the amount of revenue and gross profit indicated with a minus sign.) Year 2021 Revenue recognized – 0 0 8,450,000 \$ 8,450,000 Gross profit (loss) recognized \$ 0 (316,000) (426,000) X (742,000) 2022 2023 Total Req 2 Req 2B Req ЗА Req 3B ournal entries for 2021 to record the transactions described (credit “various accounts for construction costs (If no entry is required for a transaction/event, select “No journal entry required” in the first account field.) Year 2021 Credit General Journal Construction in progress Loss on long-term contract Debit 2,180,000 2,180,000 2021 Accounts receivable Billings on construction contract 2,716,000 2,716,000 2021 2,430,000 Cash Accounts receivable 2,430,000 2021 No journal entry required Req 2A Reb 2B Req ЗА Req 3B ournal entries for 2022 to record the transactions described (credit “various accounts for construction costs – (If no entry is required for a transaction/event, select “No journal entry required” in the first account field. General Journal Year 2022 Credit Construction in progress Loss on long-term contract Debit 4,896,000 X 4,896,000 X 2022 2,966,000 Accounts receivable Billings on construction contract 2,966,000 2022 2,655,000 Cash Accounts receivable 2,655,000 2022 No journal entry required Balance Sheet At December 31, 2022 Current assets: Accounts receivable \$ 311,000 Current liabilities: Billings in excess of costs X \$ 250,000 X