Category Construction Contracts

In order to prepare the income statement for each period, there is a need to identify the relevant sales revenue and related cost to come up with the profit figure. In order to judge how to recognize revenue in construction,…

In construction contracts, customers pay the amount in installments and the full amount of revenue cannot be recorded in the first year of the project. Instead, a portion of the revenue is recorded using the estimates of the professional surveyor.  As an…