CMGT 4340 (Test #1)-Questions with Correct
Answers
Financial Management
Use of a company's financial resources which include cash and assets
PROJECT ORIENTED
-Greater variety of projects
-Harder to determine the costs of projects
-Cannot stockpile
-Greater need for detailed job cost accounting
DECENTRALIZED PRODUCTION
- Must track equipment
- Employees move project to project
- Equipment and Personnel Costs charged to correct project
- Each project is a profit center
PAYMENT TERMS
- Long term contracts
- Progress payments
- Owner withholds retention
- Unusual cash flow modification accounting procedures
HEAVY USE OF SUBCONTRACTORS
, - Use of subs financial assets
- Transfer of contract liability
Who is responsible for construction management?
- Owners
- GM's
- CFO
Who is responsible for financial management on specific projects?
- Estimators
- Project Managers
- Superintendents
Financial Managers are responsible for.....
-Accounting for financial resources
-Managing costs and profits
-Managing cash flows
-Choosing among financial alternatives
Cost Reporting
-To respond to and correct problems
-Shows where the company has been
Cost Control
Answers
Financial Management
Use of a company's financial resources which include cash and assets
PROJECT ORIENTED
-Greater variety of projects
-Harder to determine the costs of projects
-Cannot stockpile
-Greater need for detailed job cost accounting
DECENTRALIZED PRODUCTION
- Must track equipment
- Employees move project to project
- Equipment and Personnel Costs charged to correct project
- Each project is a profit center
PAYMENT TERMS
- Long term contracts
- Progress payments
- Owner withholds retention
- Unusual cash flow modification accounting procedures
HEAVY USE OF SUBCONTRACTORS
, - Use of subs financial assets
- Transfer of contract liability
Who is responsible for construction management?
- Owners
- GM's
- CFO
Who is responsible for financial management on specific projects?
- Estimators
- Project Managers
- Superintendents
Financial Managers are responsible for.....
-Accounting for financial resources
-Managing costs and profits
-Managing cash flows
-Choosing among financial alternatives
Cost Reporting
-To respond to and correct problems
-Shows where the company has been
Cost Control
