CONSTRUCTION
INDUSTRY ASSESSMENT OF ESSENTIAL SKILLS
Your Company Name:
1.Does your business have an established Accounting
structure which includes:
A
written outline and listing of the needed accounting records?
Place
an X in Column A to indicate which of the following accounting records and files are
generated for your business on a periodic basis.
Use Column
B to indicate by letter which of these accounting records for
your firm are prepared by internal sources such as Yourself or an Employee;
or external sources such as an Accountant,
CPA, or a Bookkeeping
service
Use Column
C to indicate the date of each of the financial
records checked in Column A were last prepared.
Column A
Column B
Column C
Income
Tax returns
941
Federal Withholding reports
State
Unemployment Compensation & 940 reports
WT-6
State Withholding reports
W2's
and W3
1099's
General
Ledger
Balance
Sheet
Accounts
Receivable Ledger
Accounts
Payable Ledger
Invoice
Register
Depreciation
and/or Amortization Schedules
Profit/Loss
Statement
Cash
Flow Projections
Expense
Report
Certified
and Weekly Payroll reports
Reconciliation
of Bank Account Statements
Check
the method used to prepare your financial statement:
Cash
Method
Percentage
of completion
Accrual
Method
Completed
contract
Combination
of Cash & Accrual
Not
sure
2. When developing and maintain professional services relationships for
your business, do you:
a.) Seek
out references and/or referrals on all professional service personnel?
b.) Establish
that all professional services personnel have construction related
backgrounds?
c.) Have
establish relationships with any or all of the following: CPA, Lawyer,
Insurance Agent, Bonding Agent, Banker?
d.) Furnish
the necessary information to the professional on a timely basis?
e.) Maintain
an open communication line to the professional(s) on a regular basis?
3.Does your business maintain a Job Costing system?
Please describe your Job Costing system by:
a.) Listing
all the necessary job cost elements for the kind(s) of projects your
firm typically does. (e.g. Direct labor cost, material cost, equipment
cost, etc)
b.) Do
you compare Job Costs for each project to a recognized standard?
If
Yes, what standards do you use? (Check all that apply)
The
bid or estimate
Actual
costs from a past similar project.
Blue
Book or Means Construction Costs Data.
Other
(Please describe below):
c.)
Does your firm have a management reporting system to provide field staff
with interim Job Costing information and to receive Job Costing
information from field staff?
Please
describe your management reporting system for Job Costing below by
indicating the frequency of reporting to and from field staff, and to
what level staff this includes. (e.g.: Supervisor reports amount of
material expended on job to Project Manager weekly)
d.) What
is the largest number of projects your business has had at any one time?
4. Does your business maintain a managerial
accounting system which provides any or all of the following:
a.) Written
comprehensive budget or project plan for each job?
b.) Reports
which allow you to regularly analyze the budget or project plan with
respect to actual results?
c.) Reports
which allow your business to compute adequate pricing (profit, cash
flow, return) strategy for bids?
5. Does your business prepare an annual plan to acquire resources and
control costs which includes any or all of the following:
a.) A
written, yearly capital budget for the upcoming fiscal year?
b.) A
listing which justifies expenditures with respect to: payback, cash
flow, tax benefits, and business needs?
c.) An
outline or description of appropriate financial instruments or resources
to fund capital expenditures and their ability to produce results?
d.) A
listing of the industry standards for financial statements for: working
capital, equipment, inventory ratios?
Date
of last update of capital budget:
6. Does your firm use a computer to perform any of the
Financial Management tasks mentioned in this section?
