Save Retention Agreement in PPR for your business

Master your documents and Save Retention Agreement in PPR

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How to Save Retention Agreement in PPR

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hi Ive been come from Hong Kong Hong Kong business solutions in this demonstration I will continue with the rental agreements share an example solution now Im gonna go specifically into the workflow of running on a specific date and also Im gonna look at the information policy settings and retention stages so those are the things Im going to be focusing on for the best demonstration the business rule that were implementing here is that responsible person should get an email when the contract details on the renewal lates weve already done the email now we should set it to automatically send on the renewal date and also we have another rule here the rental agreement should be permanently removed after 10 years so those are two things were gonna implement in this demonstration so were going to go into the SharePoint site find the site settings on my site find the site content types and the group also Im not a rental agreement there I can go into the information management policy

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How do you treat retention money payable in accounting?

Retention is treated as a liability. A provision needs to be made in books for all retention monies to be paid out. Retention is the part of every billing to be withheld till the specific period. It is the liability in the books of account to be paid of after the specific time.

How does contract retention work?

Contract Retention and Construction A retention works by holding onto or retaining a portion of the contract until the job is complete. Once the job is done and the individual that hired the contractor is satisfied, the contractor will receive the retained portion.

What is the purpose of holding retention?

Retention is security held by a procuring contractor to guarantee the performance of a suppling contractor and in particular to safeguard against defects in the event that the supplying contractor fails to satisfactorily rectify them.

What does 10% retention mean?

So on a $100,000 contract with 10% retainage, the contractor doesnt have to fork over ten grand at the beginning. Instead, the contractor will deduct the retainage from each payment application. If that contract is paid out over 10 progress payments, $1,000 would be held in retention from each one.

Is retention receivable an asset or liabilities?

When the condition to complete the job must be fulfilled before there is an unconditional right to receipt of retention and that the receivable is conditional on more than just the passage of time, then retention receivable is a component of the contract asset.

Is retainage included in accounts receivable?

Retainage for which the company has an unconditional right to payment that is only subject to the passage of time is included in contracts receivable.

How do you account for retention payable?

Retention payable is recorded by owners and general contractors and is the amount owing to contractors or subcontractors for retention. Since these funds arent due until the project is completed, they are recorded in a separate account on the general ledger.

How do you record retainage payable?

The client, who owes retainage to the contractor, records retainage as a liability. For example, if a contractor works on a $100,000 project with a ten percent retainage, then they will record $90,000 as accounts receivable and $10,000 as retainage due.

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