PROBLEM 8-3. ANTICIPATED LOSS Andrei Construction Company began operations on January 1, 2019. During the year, Andrei entered into a contract with Lindsey Company to construct a manufacturing...

Extracted text: PROBLEM 8-3. ANTICIPATED LOSS Andrei Construction Company began operations on January 1, 2019. During the year, Andrei entered into a contract with Lindsey Company to construct a manufacturing facility. At that time, Andrei estimated that it would take 3 to complete the facility at a total cost of P4,500,000. The total contract price is P6,300,000. estimated that P4,204,200 more will be needed for its completion. Lindsey Company was billed and paid 30% of the contract price. years In 2019, Andrei incurred P1,185,800 in construction costs and The following year, Andrei Construction Company incurred P3,299,200 and the engineer's estimate of cost to complete is P2,500,000. It is expected that the project will be completed this year. Required: Compute the amount to be reported as Contract Revenue, Contract Costs and Profit to appear in the income statement for the years 2019 and 2020.