Navigating Change Orders & Revenue Recognition: Construction Accounting 101

Описание: In this episode of our Construction Accounting 101 series, Reid Bangert is joined by Lisa Hut to explore the complexities of change orders in construction projects. Learn how to properly account for approved and unapproved change orders, understand FASB Topic 606, and discover best practices for tracking and reporting these changes. Whether you're a contractor, CFO, or financial professional, this video will help you navigate the challenges of revenue recognition and ensure your financial statements reflect accurate project costs. Don't forget to like, comment, and subscribe for more expert insights into construction accounting!

Disclaimer: This video is for informational purposes only and does not constitute financial advice. Please consult with a CPA or legal professional for advice specific to your situation.

Chapters:
00:00 Introduction
00:07 Welcoming Lisa Hut
00:12 Overview of Change Orders
00:43 FASB Topic 606 & Revenue Recognition
01:06 Accounting for Approved Change Orders
01:38 Unapproved Change Orders: What to Do
03:31 How Change Orders Affect Financial Statements
06:23 Proactive Communication & Contract Review
08:21 Importance of Construction-Specific Accounting Systems
08:40 Conclusion & Final Thoughts Have questions? Sign up for a free Ask Richard account and get expert advice on Sage Intacct: https://askrichard.io