Accounting

Accounting Fundamentals

100

Cash, accounts receivable, and equipment would be examples of these

Assets

200

This method of accounting recognizes revenue and expenses as they are incurred.

Accrual method of accounting

300

Method of recognizing revenue on a long-term construction contract as it’s earned over the construction period

Percentage of Completetion

Financial Statements

100

The accounting statement that shows a company's assets, liabilities, and equity

Balance sheet

200

This income statement line item is the difference between revenue and cost of sales

Gross profit

300

This financial statement line item will decrease when a customer pays an invoice

A/R (Accounts receivable)

Process Flows

100

System used for invoice approval

Pvault

200

Employee that can review owner billings, aid in monthly budget update, and ensure subcontractor compliance

Project Accountant

300

Day of the week when all approved Pvault costs are synced to Sage

 Friday

Profit Pockets

100

Procore and DocuSign would be examples of this profit pocket

Software

200

This financial metric for qualifying subcontractors is assets minus liabilities

Net worth

300

This profit pocket is derived from 1.5% of subcontract value on a project

Subcontractor Default Insurance (SDI)