For courses in Construction Accounting and Construction Finance, as well as upper-level courses in Engineering Economics. This book takes general business accounting and financial principles as well as engineering economics and adapts them to the unique characteristics of the construction industry. It provides all of the key financial management principles needed by construction managers under one cover, addressing how they are applied in the construction industry and how they interact. To get similar material students would have to purchase accounting, finance, and engineering economics books--and they still would not have all the information needed to know how these disciplines specifically relate to the construction industry. This book teaches students how to account for the companys financial resources, how to manage the costs and profits of a construction company, how to manage the companys cash flows, how to evaluate different sources of funding a companys cash needs, and how to quantitatively analyze financial decisions.To assist instructors in teaching these materials the book includes over 180 example problems, over 270 practice problems, and an Instructor's Manual and Disk with complete solutions to the practice problems and sample test problems.
Table of Contents
I. INTRODUCTION TO CONSTRUCTION FINANCIAL MANAGEMENT. 1. Construction Financial Management. II. ACCOUNTING FOR FINANCIAL RESOURCES. 2. Construction Accounting Systems. 3. Accounting Transactions. 4. More Construction Accounting. 5. Depreciation. 6. Analysis of Financial Statements. III. MANAGING COSTS AND PROFITS. 7. Managing Costs. 8. Determining Labor Burden. 9. Managing General Overhead Costs. 10. Setting Profit Margins for Bidding. 11. Profit Center Analysis. IV. MANAGING CASH FLOWS. 12. Cash Flows For Construction Projects. 13. Projecting Income Taxes. 14. Cash Flows for Construction Companies. 15. Time Value of Money. 16. Financing a Company's Financial Needs. V. MAKING FINANCIAL DECISIONS. 17. Tools for Making Financial Decisions. 18. Income Taxes and Financial Decisions. Appendix A: Computerized Accounting Systems. Appendix B: Trend Analysis. Appendix C: Derivation of Selected Equations. Appendix D: Interest Factors. Appendix E: Amortization Schedule. Appendix F: Glossary. Appendix G: List of Variables.