XML 22 R10.htm IDEA: XBRL DOCUMENT v3.7.0.1
3. CONTRACT ACCOUNTING, ACCOUNTS RECEIVABLE, AND DEFERRED REVENUE
 12 Months Ended
Dec. 31, 2016
Receivables [Abstract]  
CONTRACT ACCOUNTING ACCOUNTS RECEIVABLE, AND DEFERRED REVENUE

Costs and Estimated Earnings in Excess of Billings on Uncompleted Contracts

 

Costs and estimated earnings in excess of billings on uncompleted contracts represents costs and estimated earnings in excess of billings and/or cash received on uncompleted contracts accounted for under the percentage of completion method (See Note 1).

 

There were no costs and estimated earnings in excess of billings on unrecognized contracts as of December 31, 2016.

 

At December 31, 2015, costs and estimated earnings in excess of billings on uncompleted contracts consisted of the following for contracts accounted for using the percentage of completion method:

 

Costs and estimated earnings recognized  $511,108 
Less: Billings or cash received   (489,050)
Costs and estimated earnings in excess of billings on uncompleted contracts  $22,058 

 

Billings in Excess of Costs and Estimated Earnings on Uncompleted Contracts

 

Billings in excess of costs and estimated earnings on uncompleted contracts represents billings and/or cash received that exceed accumulated revenues recognized on uncompleted contracts accounted for under the percentage of completion method (See Note 1).

 

As of December 31, 2016 and 2015, there were no billings in excess of costs and estimated earnings on uncompleted contracts accounted for using the percentage of completion method.

 

Accounts Receivable

 

The Company records accounts receivable related to its construction contracts and its design services based on billings or on amounts due under the contractual terms. The allowance for doubtful accounts is based upon the Company’s policy (See Note 1). Accounts receivable throughout the year may decrease based on payments received, credits for change orders, or back charges incurred.

 

At December 31, 2016 and 2015, accounts receivable were as follows:

 

   December 31,
2016		   December 31,
2015		 
Accounts receivable  $1,161,064   $855,017 
Less: Allowance for doubtful accounts   –    (23,400)
Accounts receivable, Net  $1,161,064   $831,617 

 

Bad debt expense for 2016 and 2015 was $510 and $11,700, respectively.

 

Deferred Revenue

 

Deferred revenues are deposits from customers for product sales which have not yet been delivered (See Note 1). Deferred revenue was $75,323 and $213,467 for the years ended December 31, 2016 and December 31, 2015, respectively.