Response to the following problem:
Contract for new administration building
Total Contract Amount $ 60,000,000. Contract Grant Date August 14, 2012. Construction Began September 1, 2012.
Estimated Cost to Complete at beginning of contract $ 52,000,000
Estimated Time to Complete Project 2 years As of Dec 31, 2012
Construction Costs incurred to date $ 14,140,000
Billings to date $ 19,500,000
Expected costs to complete $ 36,360,000
The Pickle construction division was working on one project for the 2012 fiscal year. They use the percentage of completion revenue recognition method.