{"id":7422,"date":"2024-02-22T20:19:11","date_gmt":"2024-02-22T18:19:11","guid":{"rendered":"https:\/\/essepiutech.com\/?p=7422"},"modified":"2025-11-11T15:06:17","modified_gmt":"2025-11-11T13:06:17","slug":"understanding-the-percentage-of-completion-8","status":"publish","type":"post","link":"https:\/\/essepiutech.com\/index.php\/2024\/02\/22\/understanding-the-percentage-of-completion-8\/","title":{"rendered":"Understanding the percentage of completion accounting method"},"content":{"rendered":"

\"percentage<\/p>\n

Instead of approaching revenue percentage of completion method<\/a> recognition based on being able to estimate the contract value and duration, it considers it in terms of \u201cperformance obligations\u201d and how they transfer control. Construction accountants can use this information to more effectively implement advanced construction accounting methods to improve their profitability in the short and long term. Using the cost-to-cost approach, if a project\u2019s total costs are $10 million and its current costs are $4 million, we would divide $4 million by $10 million to get .4.<\/p>\n<\/p>\n