As the construction industry continues to become a larger part of the Canadian economy, a similar increase in the level of complexity of industry practices has been observed. This leaves practitioners with the challenge of applying the standard in this ever-changing landscape. This half-day course is designed to enable the practical application of the ASPE standard to construction entities. Emphasis will be placed on the application of revenue recognition and other accounting policies using specific scenarios and practical illustrative examples.
For the purposes of this seminar, construction industry includes construction contractors with various activities. A construction contractor may engage in various activities as a general contractor or subcontractor, and does not necessarily have the ownership of real estate, but is acting as a vendor to the builders, developers and landlords that have direct or indirect ownership of the real estate.
Topics Include:
• common business practices in the construction industry
• revenue recognition under the percentage of completion method
• disclosure requirements under the percentage of completion method
• revenue recognition under the completed contract method
• unbilled receivable and deferred revenue
• holdbacks receivable and payable
• other financial reporting implications:
• change orders
• equipment, tools and other inventory
• warranty liabilities
• professional contracts – retail work-in-progress
• claims and contingencies
Applicable for
Accounting professionals involved in the preparation of private enterprise financial statements, as well as practitioners who serve private clients, in the construction industry.
Learning Objectives
By the end of this course, participants should be able to:
• Identify common industry practices and accounting policies.
• Interpret financial statement presentation and disclosure requirements.
• Analyze the effects of estimates and uncertainty in the application of revenue recognition.
• Distinguish the appropriate application of the percentage of completion and completed contract methods of revenue recognition.
What to Expect
• An email will be sent from CPA Manitoba to the participant within two business days of registration. The email will include information on how to access the course along with the necessary login credentials.
• Once sent, the email will also be found in your Account Communication tab of the CPA Manitoba Member Portal.
• This course is designed for participants to view while following along with the course material provided.
• This self-study course allows the user to save their progress and return to continue later.
Registration is for this course is open until August 31.2023 and should be completed by September 30, 2023, after this time, access to the course will no longer be available.
To receive a certificate, participants must complete a quiz at the end of the course. Unlimited quiz attempts are available until the passing grade of 70% or better is achieved. After this you will no longer have access to the quiz.