The Summary Contract Analysis report is used to analyze revenue earned, earnings in excess of billings and billings in excess of earnings on a summary basis for all contracts in progress as of the selection date.
The report shows, as of the date selected, the total contract amount, actual cost to date, percentage complete, estimated cost to complete, Estimated Cost at Completion, estimated profit or loss on the Job, the markup percentage, amount billed to date, period revenue earned (current year), period profit or loss (current year), over- or under-billed amount, and contract type. Separate totals are maintained for the actual cost to date, the Estimated Cost at Completion, the earnings in excess of billings, and the billings in excess of earnings.
Contract Amount
This is the sum of all income records for the Job. If there are no income records, the gross max is used for a Time & Material Job. If there are no income budgets or gross max amounts, the amount billed is used as the contract amount.
Actual Cost to Date
This is the cost-to-date processed through the CGC system for the period being reported.
Percent Of Revenue Earned
This is the actual cost-to-date divided by the Estimated Cost at Completion. The percent complete can be input using the Cost/Income Update option or calculated by the system. When entered, it displays followed by an E.
Estimated Cost to Complete
This is the Estimated Cost at Completion less actual cost to date.
Estimated Cost at Completion
Entered
The Cost/Income Update option can be used to enter your estimates of the cost and income at completion by major Cost Type (Labor, Equipment, Material, Subcontract, Overhead, other). Cost at completion can also be entered on a cost code by cost code basis through the Job Cost Master.
System Generated
The actual costs and open commitments to date are used by the system to generate your Estimated Cost at Completion. The Estimated Cost at Completion is the basis for calculating your percentage complete, which is used to determine the amount of income earned. If cost at completion estimates are not entered, the standard system calculations are used to calculate the Estimated Cost at Completion.
Estimated Profit or Loss
This is the contract amount less the Estimated Cost at Completion. Losses are noted with an asterisk (*).
Percentage Markup
This is the estimated profit or loss divided by the Estimated Cost at Completion.
Billed to Date
This is the amount billed to date on this Job.
Revenue Earned
Revenue earned is calculated by the system or entered using the Income/Cost.
Revenue Earned Calculations
Cost-to-Cost:
(Actual Cost/Estimated Cost at Completion) x Contract Amount = Revenue Earned
Labor-to-Labor
(Actual Labor Costs/Est. Labor Cost at Completion) x Estimated Gross Profit + Total Actual Costs = Revenue Earned
(*Estimated Gross Profit = Contract Amount - Estimated Costs at Completion)
Revenue-to-Revenue:
(Actual Billings/Contract Amount) x Contract Amount = Revenue Earned
Labor-To-Labor Installed:
(Actual Labor Costs/Est. Labor Cost At Completion) x Material Costs* + All
Non-Material Costs** + Est. Profit*** = Revenue Earned
* |
Material Costs = Cost Types coded as a (3) in the Cost Type Description file. |
** |
Non-Material Costs = Cost Types coded as 0, 1 and 2 in the Cost Type Description file. |
*** |
Est. Profit = Actual Labor Costs x Est. Gross Profit Est. Labor Costs at Completion At Completion |
The object of the Labor-To-Labor Installed Method is to adjust the Material Cost-To-Date to Installed Materials. Used when material costs are front loaded in the Job Cost, due to Price Breaks for complete shipments, causing the materials to be "Stored".
It is important to remember that only one revenue calculation method can be used for each company on the system. The user is advised to decide carefully which method is to be used. The method can be changed at any time but is not advisable to do so since the consistency of the financial reports will be disrupted.
(Actual Labor Costs/Estimated Labor Cost at Completion) x Estimated Gross
Profit + Total Actual Costs = Revenue Earned
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% Complete |
100% |
x |
Estimated Gross Profit Recognized Profit 13767 |
13767 |
+ |
Actual Costs |
491119 |
= |
Revenue Earned |
504886 |
**************
Calculation Methods
Update Option. The following is a summary review of the methods used by the system to calculate revenue earned.
Note Contract Value equals budgeted income for Contract type zero Jobs. Contract Value equals Estimated Cost at Completion plus fee (fixed or percentage) for cost plus Jobs.
0 |
Revenue earned equals contract value times the Job percentage complete (Actual Cost/Estimated Cost at Completion). |
1 |
Revenue earned equals total profit on the contract times the labor percent complete (actual labor to date/estimated labor at completion) plus all actual cost to date. |
2 |
Revenue earned equals contract value times revenue percentage complete (actual billings to date/contract value). |
3 |
Revenue earned equals installed costs plus profit to date. Installed cost equals all costs less uninstalled materials. Profit to date equals the labor to labor percentage times the gross profit. |
Gross Profit or Loss
This is the revenue earned less actual cost to date. For labor to labor installed the gross profit equals the labor to labor percentage times the gross profit. Losses are noted with an asterisk (*). The report calculates the current period profit or loss using the prior period data entered in the Prior Period Accrual file. When the report reflects the values you want to use for the current period, run the report one more time and answer Y to Update Prior Period file. This will update the prior period file with the current period values.
The prior period profit accrual file can also be maintained through Job cost file maintenance.
Over Billed Under Billed
This is billings-to-date less revenue earned. The over or under-billed amount must be posted with a journal entry to the General Ledger to produce financial statements on a percent of completion basis.
Contract Type (C.T.)
0 |
Contract amount |
1 |
Cost plus fixed fee |
2 |
Cost plus percentage fee |
Summary Contract Analysis Report Selection screen
Note: For Jobs with a Loss, the Total Loss is recognized immediately.
Report Selection ID
Click the prompt to select a Report Selection ID from a current list. To create a new Report Selection ID, enter that number and provide a description. When you have finished supplying the following field information, click the CREATE button.
All Job/Sub
Y |
All Jobs are included in the report. |
N |
Clicking OK or CREATE will open the Detail Job Selection screen on which to select the individual Job/Sub Jobs to include. |
R |
Clicking OK or CREATE will open the Range Job Selection screen on which to select a range of Job/Sub Jobs to include. |
Display Job List
Y |
Clicking OK or CREATE will open the Job List Selection screen. |
N |
Clicking OK or CREATE will open the Detail Job Selection screen. |
Time and Material Only
Y |
Include only Time and Material Jobs. |
N |
Include only Contract Jobs. |
B |
Include Both T&M and Contract Jobs. |
S |
Include only Service T&M and Service Contract Jobs. Jobs are coded Service Time & Material by setting their Time and Material field, in the Job Description file, to Service. |
Include Closed Jobs
Y |
Include both closed and open Jobs. |
N |
Include open Jobs only. |
C |
Include closed Jobs only. |
Date Range
Use the adjacent fields to define a range of dates for the Jobs to be included on the report.
Job Queue
Y |
Process the Job within the Job queue. |
N |
Process the Job before other Jobs within the Job queue. |
The following section of the Report Selection screen is used to further define the Jobs and sequence for printing. These fields are maintained in the Job Description file.
And (A)/Or (O)
A |
Jobs satisfying ALL the selection requirements will be included in the report. |
O |
Jobs satisfying ANY of the selection requirements will be included in the report. |
For the following criteria, enter ranges to be used when compiling this report.
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Print Sequence
Enter up to three sort sequences for the report based on the following codes:
A |
Department |
E |
County Code |
B |
Job Type |
F |
Project Manager |
C |
Customer |
G |
Superintendent |
D |
Engineer |
H |
Estimator |
Total Seq.
Y |
Total the report according to the selected Print Sequence. If you chose “Department” as the Print Sequence, this report would then be totalled by Department. |
N |
Do not total the report according to the selected Print Sequence. |
Page Break
Y |
Force a page break after each item in the Print Sequence. If you chose “Department” as the Print Sequence, page breaks would occur after each Department. |
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Click to open a Selection screen determined by these entries. |
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Click to return to the Main Menu without processing entries. |
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Click to save these entries under a new Report Selection ID. |
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Click to run this report. |
Summary Contract Analysis Detail screen
Job-to-Date Process
Y |
Job To Date detail is selected for reporting. |
N |
Enter from and to date range for selecting data to be reported. Financial reports will show a balance forward for the prior periods and then detail for the current period. |
Ending Month/Year
Enter the ending month and year for which you want to print this report. MM/YYYY
Update Prior Period
Y |
Update the files from the prior period. |
N |
Update the files for the current period only. |
Prior Period Ending
Specify the prior period ending date. MM/YYYY
Method (A/S)
A |
Actual Cost |
S |
Cost of Sales |
Consolidate Sub Job/Job Number Totals
Y |
Adds Costs and Billings for the entire Job, then calculates Revenue Earned. |
N |
Calculates Revenue Earned by Sub Job then accumulates to Job totals. Prints Sub Job Total line and Job Total line if more than one Sub Job. |
T |
Mimics the N option for calculation, then adds all Sub Jobs together. |
Projected Cost Types
Specify up to ten Cost Types you want projected on the report.
Lowest % Complete to Project
Enter a minimum percentage, which must be met or exceeded, for the system to project Cost at Completion. If no percentage is entered, the system will project for all projected Cost Types.
Include Unprocessed Payroll
Y |
Include unprocessed labor time records in the payroll work file on Job or labor cost reports. Unprocessed records will not update the Job cost file until the Payroll Update Procedure has been run. This option adjusts only the Job and Labor reports with unprocessed payroll and estimated payroll burden.. |
Values to use
1 |
Job Cost Detail |
The actual cost from the Job Cost Post file will be used. |
2 |
Cost to Date |
The current estimated amounts as entered in the Cost-to-Date file will be used. |
Include Unprocessed Equipment
Y |
Include unprocessed equipment usage records in the equipment work file on Job cost reports. Unprocessed records will not update the Job cost file until the Equipment Update procedure has been run. This feature only adjusts the Job reports with unprocessed equipment. |
Include On Order Amount in Committed Cost
Many of the Job Cost Reports can reflect On Order Inventory from the Order Processing application, for both Job and customer/Job orders, as committed costs on the cost reports. (Included in the Purchase Order committed amount.)
If you enter a Y, “On Order” inventory amounts will be reflected as committed cost and will be used in the report projections on the following:
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It will display in the Create Job Dictionary and Job Cost by Summary Cost Type, if committed cost is selected. It can be overridden on each report selection for all reports except the Projected Final Cost Report.
Use Reported Estimate at Completion:
by Cost Type |
Y |
Use the reported Estimate at Completion as entered in field reporting at the Cost Type level. |
by Cost Distribution |
Y |
Use the reported Estimate at Completion as entered in field reporting at the Cost Distribution level. |
Processed as if Closed
Y |
Calculate the Estimated Cost at Completion on the report as the total of actual cost to date plus open commitments. |
N |
Calculate the Estimated Cost at Completion in the normal manner. |
Use As Bid Budget
Y |
The As Bid Budget entry, from the Job Cost Master, will be used in place of the current (revised) budget, and no variable budget logic will be used. If the 100% Complete field, in the Job Description file, is set to Budget, the original budget and change orders will be used for the “Estimated Cost At Completion.” The “Use As Bid Budget” will display on the printed selection page for the reports affected. |
Print Selection Options
Y |
Print your selection options on the page before the report. |
Number of Copies
Enter the number of report copies you want to print.
Form Type
Enter the Form I.D. you want to use for printing this report. The default of *STD is used for standard 22 x 14 inch computer paper.
Outq/Hold/Save
Enter an Outq identifier to have this report sent to a specific output queue. Leave this field blank to send the report to the default output queue.
Enter Y in the Hold field to place this report on hold in the default, or specified, output queue.
Enter Y in the Save field to print the report, and then place it on hold in the default, or specified, output queue.
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Click to run the report based on these selections. |
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Click to return to the Main Menu without processing entries. |
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Click to return to the Report Selection screen without processing entries. |
