Page 131 - FINAL Combined CB2_Neat

sheet.

through 2037.
contracts
contracts
Estimated earnings
Less: Billings to date

See Independent Accountant's Review Report.
NOTE 2 - NOTES RECEIVABLE - STOCKHOLDERS
Costs incurred on uncompleted contracts

NOTE 3 - COSTS AND BILLINGS ON UNCOMPLETED CONTRACTS

FGM ARCHITECTS INC.
Included in the accompanying balance sheet under the following captions:
Billings in excess of costs and estimated earnings on uncompleted contracts
Net billings in excess of costs and estimated earnings on uncompleted
Costs and estimated earnings in excess of billings on uncompleted contracts
Net billings in excess of costs and estimated earnings on uncompleted
NOTES TO THE FINANCIAL STATEMENTS
$
$
Costs and billings on uncompleted contracts consist of the following as of September 30:
1
A
_${_
2017
2017
584,873
45,275,163
823,754
44/451,409
46,597,010
1,906/720)
1,321,847)
1,321,847)
notes was approximately $60 and $55 for the years ended September 30, 2017 and 2016, respectively.
NOTE 1 - DESCRIPTION OF BUSINESS AND SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Concluded)
30, 2017 and 2016. Amortization expense was $60,000 for the years ended September 30, 2017 and 2016.
$
$
_L
A
A
2016
2016
738,096
56,375,767
1,717/391
58,093/158
58,924,704
1,569,642)
831,546)
831,546)
amount paid is credited or charged to "Deferred Rent/' which is reflected as a separate line item in the accompanying balance
the amount of any future tax benefits is reduced by a valuation allowance to the extent such benefits are not expected to be
Deferred Rent. The Company entered into various operating lease agreements for office space, which contain provisions for
owned/ bear interest at the applicable federal rate, .64% through 1.01%, and are due on demand. Interest earned on these
is amortized over the lease term as a charge against depreciation. The difference between rent expense recorded and the
number of months of the lease term. The build-out allowance is recorded as part of leasehold improvements and the incentive
future rent increases, periods of rent abatement and build-out allowances. In accordance with generally accepted accounting
principles, the Company records monthly rent expense equal to the total payments due over the lease term, divided by the
Goodwill. Goodwill represents the consideration transferred in excess of fair values assigned to the underlying assets acquired
and liabilities assumed in a business combination. Effective January 1, 2013, the Company elected to amortize goodwill over an
fully realized. The Company has approximately $1,600,000 of net operating loss carryforwards that expire at various dates
The Company maintains notes receivable to various stockholders. Such notes are collateralized by the shares of Company stock
Income Taxes. The Company reports income to the Internal Revenue Service on a cash basis, as permitted under IRS regulations.
Deferred income tax assets and liabilities are recognized for the future tax consequences attributable to differences between the
GAAP-based financial statement carrying values of assets and liabilities and their respective cash method tax bases. In addition,
estimated useful life of five years/ which is an alternative method allowed under GAAP. Upon a triggering event, the Company
performs an impairment test for goodwill at the entity level. There were no impairment changes forthe years ended September
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