Use the Following Information for Questions

Multiple Choice

Use the following information for questions:
Streetside Construction agreed to build a shopping centre for $25,000,000 over the next four years.Estimated cost for years one through four are: $7,500,000; $5,000,000; $5,000,000; and $2,500,000.
-Estimated profit or loss for year one, assuming the percentage of completion method, would be:

A) $1,250,000)
B) $0
C) $1,250,000
D) $1,875,000