Question :

Platypus Building Inc. won a bid for a new office building contract. Below is info from the project accountant:    

Total Construction Fixed Price                      $8,000,000             

Construction Start Date                           March 3, 2012        

Construction Complete Date                    December 4, 2014                                             

As of Dec 31...                                2012                            2013       

Actual cost incurred  per year         2,000,000                 $1,000,000  

Estimated costs to complete         $ 2,000,000                   $1,000,000                 

Billed to customer                        $2,400,000                 $5,300,000       

Received from customer               $2,250,000                $5,400,000  

Consider Platypus Building Inc. uses the percentage of completion technique, what amount of gross profit would be recognized in 2013?