Revenue P/L

CN started a three?year contract to build a new university campus on 1 April 20X4. The contract had a fixed price of $90 million. CN willsatisfy the performance obligation over time. CN incurred costs to 31 March 20X5 of $77 million and estimated that a further $33 million would need to be spent to complete the contract. CN measures the progress of contracts using work completed compared to contract price. At 31 March 20X5, a surveyor valued the work completed to date at $63 million. Select the correct amounts to be shown in revenue and cost of sales in the statement of profit or loss for the year ended 31 March 20X5?

Step 1 – Overall
$m Price 90
incurred to date (77)
estimated future (33)
Overall loss (20)

Step 2 – Progress Progress = work certified 63/total price 90 = 70%

Step 3 – SPL $m
Revenue (70% of 90) 63
Cost of sales (balancing figure to recognise full loss) (83)
FULL loss to be recognised immediately (20)

Sir, my question is: 83 AMOUNT ?N THE PL: 77 COST TO DATE AND 6 PROVISION TO RECOGNISE LOSS? AM I RIGHT?

I was confused because of that in the book’s solution PL part didn’t deducted cost to date amount (77).