Good morning,
As I am consulting at an excavation contractor I'm finding challenges in the accumulation of job costs. They are not currently using Purchase Orders.
In preparing the WIP, several projects are showing very high Billings in Excess of Costs. I am told they do not front-load their billings.
As I inquire it appears that many of the vendors (materials, subcontractors, etc.) are very tardy in submitting their bills. Hence, my incurred costs are understated which explains the reason for the high BIE
#.Do any of you encounter a similar challenge and what do you do to overcome it?
Regards,
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Stuart Guber BS- Accounting
Stuart H. Guber, CPA
Springfield NJ
(973) 255-8249
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