Construction
Contract Change Order (Increased Scope)
Adjusting the contract value and revenue when a client requests additional work mid-project.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Accounts Receivable (Unbilled) | Asset (+) | 2,500.00 | - |
| Construction Revenue | Revenue (+) | - | 2,500.00 |
💡 Accountant's Note
When a change order is signed, the total 'Contract Price' increases. This entry recognizes the revenue for the additional progress made on that new scope of work.
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