In 2024, KP Building Incorporated began work on a four-year construction project (called Cincy One). The contract price is $336 million. KP recognizes revenue on this contract over time according to percentage of completion. At the end of 2024, the following financial statement information indicates the results to date for Cincy One: INCOME STATEMENT: Gross profit (before-taxes) recognized in 2024 BALANCE SHEET: Accounts receivable from construction billings Construction in progress Less: Billings on construction Net billings in excess of construction in progress $ 70 million $ (76 million) Cash collected by KP on Cincy One during 2024 Actual costs incurred by KP on Cincy One during 2024 At 12/31/2024, the estimated remaining costs to complete Cincy One The percentage of Cincy One that was completed during 2024 $ 25 million $ 13 million $ 6 million Required: Compute the following, placing your answer in the spaces provided and showing supporting computations below. Note: Round your percentage answer to the nearest whole number. Enter your answers in millions (i.e., 10,000,000 should be entered as 10). million million million %

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Contract Costing

Contract costing is about tracing particular costs related to a particular contract entered into with the customer. It is one of the forms of job order costing. It is useful in long-term contracts at the most. It is seen that substantial time is required for the completion of the contract which takes different accounting periods. Thus, it is very much helpful for recognizing the costs associated with it and accounting in their specific accounting periods.