You have a contract for $200,000. The following events occur: March 1 – the project starts March 20 – The subcontractors bill for $80,000 to the contractor Between March 1 and March 31 – 45% of the contract was completed April 10 – The subcontractor was paid $80,000 April 20 – The subcontractors billed $100,000 to the contractor Between April 1 and April 30 – 55% of the contract was completed April 30 – the project ends and the contractor billed the owner in full. May 10 – The contractor paid $100,000 to the sub-contractors. May 20 – the owner paid the contractor $200,000 Determine when revenues and expenses are recognized on the cash method?
Fill in the relevant financial activities below. March
April May Revenues $ $ $ Expenses $ $ $