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Contract Assets and Contract Liabilites

Accounting Standards Codification (ASC) 606- Revenue Recognition, among other things, changed the way we present financial statements....

Another Way to Calculate Revenues Earned

Here's another way to calculate revenues earned using the percentage of completion method. Just thought I'd share. ***DISCLAIMER*** This...

Troubleshooting overbillings that seem off, Part 2

So you've calculated work in progress (WIP) on open jobs but something seems off. You think to yourself, "there's no way I could be...

Troubleshooting overbillings that seem off, Part 1

So you've calculated work in progress (WIP) on open jobs but something seems off. You think to yourself, "there's no way I could be...

High Overbilling Doesn't Make Sense?

You have a high overbilling on a project but it doesn't make sense. First, remember this! Actual Gross Profit* % > Estimated Gross Profit...

Common Underbilling Scenarios: Scenario(s) 4

On to Scenario 4 or the "Going through the punch list” scenario. Keep your subsequent activity nearby for this scenario. In the example...

Common Underbilling Scenarios: Scenario(s) 3

On to Scenario 3 or the "Really? Are you sure?" scenario. This scenario often results in significant changes to total estimated cost. In...

Common Underbilling Scenarios: Scenario(s) 2

In this lesson we'll cover the second common scenario with underbillings, the "nothing to see here folks" scenario (2). Let's get to it!...

Common Underbilling Scenarios: Scenario(s) 1

It's December X3 and you just started a new project. You’ve incurred (and recorded) costs on the project but didn’t get around to billing...

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