Income Forecast Statement

This procedure is used to generate project specific Income Statements. The Project Income Statement and Forecast screen will display Job-To-Date Revenue and Cost data, as well as Cash Flow data for the selected Job/Sub-Job through the specified Reporting Period. Generated data can be recalculated from user input in the following fields:

• Contract Adjustments

• Forecast Cost

• Unbooked Billings

• Accrued Expenses with full details in a popup screen

• Deferred Expense with full details in a popup screen

• General Reserve

• Loss Reserve

• Backlog and margin information for current year and 3 future years

Additional Functionality includes:

• Printing of statement using eForms. Attachments will print, e-mail or fax with eForms.

• Attachments can be made using the attachments feature from Project Collaborator.

• All data elements visible on the screen are saved in a table for future reference and reporting.

• All data elements visible, including comment, will be available for reporting through COGNOS.

• Comments may be entered on a separate screen.

• Allow for departmental allocation.  The department to which the job is assigned in the Job Description File will always be the default with 100% of the value.  Other departments can be entered with various percentages to reflect the idea that more than one department is involved with a project. This will be used to allocate revenues, costs and margin on reports to the various departments.

• Fields in finalized records will not accept input, although the prompts on the Accrued and Deferred Expenses will still function.

• Automatically post journal entries to record unbooked billings, and deferred and accrued expenses. When a forecast is “un-finalized”, the system will make the reversing journal entry using the reporting date from the forecast.

Using the Recalculate button

The button needs to be executed any time there is change to a field.

Also, if additional entries are being made through the various other applications for the specific reporting period, you can use the recalculate button to bring those costs in. To do so, you must first clear the Forecast Cost field (set it to zero) for the new entries to be included.

Job/Sub Job Selection screen

This screen is accessed from the from the Processing menu in Job Costing.

Job/Sub Job

To select from a list of current forecasts, leave these fields blank and click OK. Otherwise, enter the Job/Sub Job for which you want to generate the Project Income Statement.

	Click to process these entries. If the Job/Sub Job field is blank, or if there are multiple forecasts for the Job/Sub Job entered, you will access the Forecast Selection screen. Otherwise the Project Income Statement Detail screen will display.
	Click to return to the Main Menu without processing entries.

Forecast Selection

This screen will display if forecasts currently exist for the selected Job/Sub Job. Either access an existing forecast, or click the ADD button to create a new forecast with a new reporting date.

Only one open forecast is allowed per Job/Sub Job. Attempting to create a new forecast for a Job/Sub Job that currently has one open will generate an error message.

	Click to display the selected Forecast on the Project Income Statement Detail screen.
	Click to return to the Main Menu without processing entries.
	Click to create a new Forecast with a new Reporting Date.
	Click to return to the Job/Sub Job Selection screen.

Project Income Statement Detail screen

Job/Sub Job

Accept the Job/Sub Job entered on the Selection screen, or click the Sub Job prompt to make new selections.

Reporting Date

This entry will define the report’s “thru” date and must be in mm/dd/yyyy format.

Click OK to generate the Project Income Statement for the specified Job/Sub Job and Reporting Date. During subsequent data entry, click the RECALCULATE button to view results.

Contract Value/Contract Adjustments

Original Contract Value + Approved Change Orders + Contract Adjustments

Forecast Cost

This is the Estimated Cost at Completion from the Summary Job Analysis.

Forecast Margin

Contract Value - Forecast Cost

Contract Type

Pulled from the Billing Type entered in the Job Description file.

Original Estimate Margin

Original Revenue Budget - Original Cost Budget

Original Estimate Margin Percent

Original Estimate Margin / Original Revenue Budget

Start Date/Completion Date

Pulled from the Job Description file.

Country Code/Ownership Percentage

Pulled from the Company Name Defaults.

Forecast Type

Click the prompt and select a Forecast Type from the list.

Job Type

Pulled from the Job Description file.

Department Allocation Percentages

Row 1 - The read-only value and the entry in it’s adjacent field are pulled from the Job Description file.

Rows 2 & 3 - Used to split the allocation among 2 additional Departments, enter the Department Number in the first field and the allocation percentage in it’s adjacent field. The total of all allocation percentage entries cannot exceed 100.

Income

Booked Revenue

Pulled from the Job Cost Detail file for the period defined by the Reporting Date.

Unbooked Billings

User entry

Under/Over Billed

Contract Value x Cost Percent Complete - Booked Revenue

This value may be a negative number.

The Cost Percent Complete does not include the amount entered in the Loss Reserve field.

To Date Income

Booked Revenue + Over/Under Billed

Expenses

Booked Cost

Pulled from the Job Cost Detail file for the period defined by the Reporting Date.

Accrued Expense

Sum of all accrued expenses entered on the "Accrued Expense/Deferred Expense Detail screen" (see page 4-9). This screen is accessed by clicking the adjacent GO icon.

Deferred Expense

Sum of all deferred expenses entered on the "Accrued Expense/Deferred Expense Detail screen" (see page 4-9). This screen is accessed by clicking the adjacent GO icon.

General Reserve

User entry

Loss Reserve

User entry. This value is unique in that it will not be used when calculating the Cost Percent Complete. This results in recognizing immediately the full loss on jobs projected to lose money.

Total Adjustments

Accrued Expense + Deferred Expense + General Reserve + Loss Reserve

Adjusted Cost to Date

Booked Cost + Total Adjustments

Cost Percent Complete

(Adjusted Cost to Date - Loss Reserve)/ Forecast Cost

To Date Margin

To Date Income - Adjusted Cost to Date

To Date Margin %

To Date Margin / To Date Income

Summary

Prior Years

Revenue

“To Date Income” from the last projection in the prior fiscal year.

Margin

“To Date Margin” from the last projection in the prior fiscal year.

Margin %

Margin / Revenue

Current Year to Date

Revenue

To Date Income - Prior Year Income

Margin

To Date Margin - Prior Years Margin

Margin %

Current Year To Date Margin / Current Year To Date Revenue

Backlog Current Year

Revenue

In add mode, the value from the most recent record. Can be overridden.

Margin

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, multiply the Margin % by Revenue and populate. If both are populated use the Margin to recalculate the Margin %.

Margin %

In add mode, bring forward the same value from the most recent record. Can be overridden.  If this value is left blank, divide the Margin by Revenue. If both are populated use the Margin to recalculate this value.

Backlog Next Year

Revenue

In add mode, the value from the most recent record. Can be overridden.

Margin

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, multiply the Margin % by Revenue. If both are populated use the Margin to recalculate the Margin %.

Margin %

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, divide the Margin by Revenue. If both are populated use the Margin to recalculate this value.

Backlog Second Year

Revenue

In add mode, the value from the most recent record. Can be overridden.

Margin

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, multiply the Margin % by Revenue. If both are populated use the Margin to recalculate the Margin %.

Margin %

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, divide the Margin by Revenue. If both are populated use the Margin to recalculate this value.

Backlog Beyond

Revenue

In add mode, the value from the most recent record. Can be overridden.

Margin

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, multiply the Margin % by Revenue. If both are populated use the Margin to recalculate the Margin %.

Margin %

In add mode, the value from the most recent record. Can be overridden. If this value is left blank, divide the Margin by Revenue. If both are populated use the Margin to recalculate this value.

Total at Completion

Revenue + Margin

Margin % = Margin / Revenue

If the Forecast Type is set to Actual or Other, then

Revenue must equal Contract Value

and

Margin must equal Forecast Margin

Cash Flow

Cumulative Cash Receipts

Billings To Date

Calculated from Job Cost Cash Position Report. May be overridden if the Forecast Type is not set to Actual or Other.

Retention To Date

Calculated from Job Cost Cash Position Report. May be overridden if the Forecast Type is not set to Actual or Other.

Accounts Receivable

Calculated from Job Cost Cash Position Report. May be overridden if the Forecast Type is not set to Actual or Other.

Receipts To Date

Calculated from the Job Cost Cash Position Report - Cash Received. May be overridden if the Forecast Type is not set to Actual or Other.

Cumulative Cash Disbursements

Booked Cost

Calculated from Job Cost Cash Position Report. May be overridden if the Forecast Type is not set to Actual or Other.

Sub Retention

Calculated from Job Cost Cash Position Report. May be overridden if the Forecast Type is not set to Actual or Other.

Open Payables

Calculated from Job Cost Cash Position Report. May be overridden if the Forecast Type is not set to Actual or Other.

Cash Out

Booked Cost + Sub Retention + Open Payables

Cash Position

Cash Receipts to Date - Cash Out

Future Net Cash

Forecast Margin - Cash Position

Finalized

If this option is selected:

• The system stores the Forecast with a status of 'I' to indicate it is only to be viewed, not updated.

• A journal entry is created and posted to the batch journal entry files in G/L.. This entry is based on the information found on the screens for Accrued Expenses and Deferred Expenses

• Another journal entry will be created to book the unbooked billings to the default income code on the Job Description file and debit the Accrued A/R field from A/R defaults.

If this option is cleared:

• The system stores the Forecast with a status of “A” which will make all entry fields accessible.

• Clicking OK will re-display this forecast instead of returning to the Available Records screen.

• Only one open forecast is allowed per Job/Sub Job. Attempting to “unfinalize” (open) a forecast for a Job/Sub Job that currently has an open forecast will generate the error message, “Unapproved Records Exist - Cannot Process Until Approved”.

	Click to process entries and, for finalized forecasts, return to the Available Records screen. If the forecast is not finalized, the current forecast is saved as “Unfinalized” and re-displayed.
	Click to return to the Main Menu without processing entries.
	Click to rerun calculations every time a change is made to a field. Valid only for forecasts that have not been finalized. Also, you can pull in entries that are being made through various other applications by setting the Forecast Cost field to zero and clicking this button.
	Click to print this forecast using eForms.
	Click to access a Comments screen.
	Click to copy these entries to a new statement with a different date. All fields are copied except Accrued and Deferred expenses. This is for finalized statements only.
	Click to delete this forecast.
	Click to return to the Job/Sub Job Selection screen without processing changes.
	Click to return to the Project Income Statement Detail screen without processing changes.

Accrued Expense/Deferred Expense Entry screen

These screens are identical except for the screen label. They are accessed by clicking the GO icon associated with the Accrued Expense or Deferred Expense field.

Accrual Account

This account number will populate from the A/R Accrual entry on the first page of Accounts Receivable defaults. It can be overridden.

Cost Distribution

Entry is not required unless different from the header entry.

Make the accrued expense entries and click OK. The total of these entries will populate the Accrued Expense field.

Make the deferred expense entries and click OK. The total of these entries will populate the Deferred Expense field.

Accrual GL

This entry will populate from the default Accrual Account in the header.

Amount

Enter the Accrued/Deferred Expense amount.

	Click to process entries.
	Click to return to the Project Income Statement Detail screen. Changes will be lost if the OK button has not been clicked.

Comments Entry screen

This screen is accessed by clicking the COMMENTS button on the Project Income Statement Detail screen.

	Click to save entries.
	Click to return to the Project Income Statement Detail screen. Changes will be lost if the OK button has not been clicked.
	Click to delete comments.