March 10, 2020

Construction Dive quoted Partner James Miller in an article about SEC investigations of improper revenue recognition on public company financial statements.

Construction Dive

By Kim Slowey

Related Industry Construction

James Miller

Excerpt:

“Specific to construction,” he said, “the contractor’s ability to properly estimate a job is a basis for recognition of revenue based on the percentage of completion or consistent with overtime recognition, where there is not a significant reversal of revenue in the future. In the case of construction estimates, constant profit changes challenge a company’s ability to properly estimate a job, and, in turn, would not support the method of recognizing revenue based on the percentage of completion or over-time.”

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