SOLUTION MANUAL
Construction Accounting and Financial Management, 4th
Edition Steven J. Peterson Chapters 1 - 18, Complete
Newest Version
ConstructionNAccountingNandNFinancialNManagement,
, CONTENTS
NewNtoNtheNFourthNEdition 1
ChapterN1:NConstructionNFinancialNManagement 2
ChapterN2:NConstructionNAccountingNSystems 4
ChapterN3:NAccountingNTransactions 7
ChapterN4:NMoreNConstructionNAccounting 23
ChapterN5:NDepreciation 34
ChapterN6:NAnalysisNofNFinancialNStatements 50
ChapterN7:NManagingNCosts 58
ChapterN8:NDeterminingNLaborNBurden 62
ChapterN9:NManagingNGeneralNOverheadNCosts 65
ChapterN10:NSettingNProfitNMarginsNforNBidding 67
ChapterN11:NProfitNCenterNAnalysis 70
ChapterN12:NCashNFlowsNForNConstructionNProjects 75
ChapterN13:NProjectingNIncomeNTaxes 87
ChapterN14:NCashNFlowsNforNaNConstructionNCompany 91
ChapterN15:NTimeNValueNofNMoney 93
ChapterN16:NFinancingNaNCompany’sNFinancialNNeeds 99
ChapterN17:NMakingNFinancialNDecisions 111
ChapterN18:NIncomeNTaxesNandNFinancialNDecisions 130
ConstructionNAccountingNandNFinancialNManagement,
, iii
ConstructionNAccountingNandNFinancialNManagement,
, New to the Fourth Edition
N N N N
TheNmajorNchangesNtoNtheNfourthNeditionNincludeNtheNfollowing
• TheNbusinessNfailureNrateNforNconstructionNcompaniesNinNChapterN1NhaveNbe
enNupdated.
• SectionsNonNcostNsegregationNandNbonusNdepreciationNhaveNbeenNaddedNtoNChapterN5.
• TheNdiscussionNofNtypicalNmedianNratiosNinNChapterN6NhasNbeenNupdated.
• ANsectionNonNtheNmonitoringNandNcontrollingNprocessNhasNbeenNaddedNtoNChapterN7.
• ANsectionNonNmanagingNdesign-buildNcostsNhasNbeenNaddedNtoNChapterN7.
• TheNwages,NsocialNsecurity,NandNMedicareNcostsNwereNupdatedNinNChaptersN8,
N9,N
andN14.
• ANweeklyNcashNflowNproblemNhasNbeenNaddedNtoNChapterN12.
• TheNincomeNtaxNregulationsNinNChapterN13NhaveNbeenNupdatedNtoNincorpor
ateNprovisionsNofNTheNTaxNCutsNandNJobsNActNpassedNinNDecemberN2017.
• TheNprojectNcashNflowsNusedNtoNdevelopNanNannualNcashNflowNforNaNconstructionN
companyNhaveNbeenNexpandedNtoNcoverNtheNentireNprojectN(includingNworkNdon
eNinNtheNpriorNyear)NandNtheNcalculationNofNtheNunderbillings/overbillingsNhasNbee
nNincludedNinNChapterN14.
• TheNeffectsNofNtaxesNonNdecisionNhasNbeenNupdatedNinNChapterN18NtoNincorporateN
theNTaxNCutsNandNJobsNAct.
TheNInstructor’sNManualNincludesNaNlistNofNlearningNobjectives,NinstructionalNhints,Nsugges
tedNactivities,NandNresourcesNforNeachNchapter.NFilesNforNtheNfiguresNandNtablesNinNtheNtex
tbookNareNfoundNonNtheNinstructor’sNwebsite.NItNisNmyNhopeNthatNtheseNresourcesNwillNma
keNitNeasierNforNcourseNinstructorsNtoNteachNtheNmaterialNinNaNmeaningfulNmanner.NBecau
seNtheNcoursesNthatNuseNthisNtextbookNareNquiteNdiverse,NitNisNimpossibleNtoNorganizeNtheN
chaptersNintoNoneNbestNorder.NEachNinstructorNshouldNconsiderNhisNorNherNindividualNprog
ramNandNdetermineNwhichNchaptersNneedNtoNbeNtaughtNandNinNwhatNorder.
BestNwishes,
StevenNJ.NPeterson,NMBA,NPE
Construction Accounting and Financial Management, 4th
Edition Steven J. Peterson Chapters 1 - 18, Complete
Newest Version
ConstructionNAccountingNandNFinancialNManagement,
, CONTENTS
NewNtoNtheNFourthNEdition 1
ChapterN1:NConstructionNFinancialNManagement 2
ChapterN2:NConstructionNAccountingNSystems 4
ChapterN3:NAccountingNTransactions 7
ChapterN4:NMoreNConstructionNAccounting 23
ChapterN5:NDepreciation 34
ChapterN6:NAnalysisNofNFinancialNStatements 50
ChapterN7:NManagingNCosts 58
ChapterN8:NDeterminingNLaborNBurden 62
ChapterN9:NManagingNGeneralNOverheadNCosts 65
ChapterN10:NSettingNProfitNMarginsNforNBidding 67
ChapterN11:NProfitNCenterNAnalysis 70
ChapterN12:NCashNFlowsNForNConstructionNProjects 75
ChapterN13:NProjectingNIncomeNTaxes 87
ChapterN14:NCashNFlowsNforNaNConstructionNCompany 91
ChapterN15:NTimeNValueNofNMoney 93
ChapterN16:NFinancingNaNCompany’sNFinancialNNeeds 99
ChapterN17:NMakingNFinancialNDecisions 111
ChapterN18:NIncomeNTaxesNandNFinancialNDecisions 130
ConstructionNAccountingNandNFinancialNManagement,
, iii
ConstructionNAccountingNandNFinancialNManagement,
, New to the Fourth Edition
N N N N
TheNmajorNchangesNtoNtheNfourthNeditionNincludeNtheNfollowing
• TheNbusinessNfailureNrateNforNconstructionNcompaniesNinNChapterN1NhaveNbe
enNupdated.
• SectionsNonNcostNsegregationNandNbonusNdepreciationNhaveNbeenNaddedNtoNChapterN5.
• TheNdiscussionNofNtypicalNmedianNratiosNinNChapterN6NhasNbeenNupdated.
• ANsectionNonNtheNmonitoringNandNcontrollingNprocessNhasNbeenNaddedNtoNChapterN7.
• ANsectionNonNmanagingNdesign-buildNcostsNhasNbeenNaddedNtoNChapterN7.
• TheNwages,NsocialNsecurity,NandNMedicareNcostsNwereNupdatedNinNChaptersN8,
N9,N
andN14.
• ANweeklyNcashNflowNproblemNhasNbeenNaddedNtoNChapterN12.
• TheNincomeNtaxNregulationsNinNChapterN13NhaveNbeenNupdatedNtoNincorpor
ateNprovisionsNofNTheNTaxNCutsNandNJobsNActNpassedNinNDecemberN2017.
• TheNprojectNcashNflowsNusedNtoNdevelopNanNannualNcashNflowNforNaNconstructionN
companyNhaveNbeenNexpandedNtoNcoverNtheNentireNprojectN(includingNworkNdon
eNinNtheNpriorNyear)NandNtheNcalculationNofNtheNunderbillings/overbillingsNhasNbee
nNincludedNinNChapterN14.
• TheNeffectsNofNtaxesNonNdecisionNhasNbeenNupdatedNinNChapterN18NtoNincorporateN
theNTaxNCutsNandNJobsNAct.
TheNInstructor’sNManualNincludesNaNlistNofNlearningNobjectives,NinstructionalNhints,Nsugges
tedNactivities,NandNresourcesNforNeachNchapter.NFilesNforNtheNfiguresNandNtablesNinNtheNtex
tbookNareNfoundNonNtheNinstructor’sNwebsite.NItNisNmyNhopeNthatNtheseNresourcesNwillNma
keNitNeasierNforNcourseNinstructorsNtoNteachNtheNmaterialNinNaNmeaningfulNmanner.NBecau
seNtheNcoursesNthatNuseNthisNtextbookNareNquiteNdiverse,NitNisNimpossibleNtoNorganizeNtheN
chaptersNintoNoneNbestNorder.NEachNinstructorNshouldNconsiderNhisNorNherNindividualNprog
ramNandNdetermineNwhichNchaptersNneedNtoNbeNtaughtNandNinNwhatNorder.
BestNwishes,
StevenNJ.NPeterson,NMBA,NPE
