When is the cash of the contractor affected?

1. The item or resource is purchased or acquired

2. The item is placed in inventory or the resource is assigned to the

project

3. The item or resource is used in the project. The contractor earns value.

4. Value is billed to the project owner.

5. Payment is made to the supplier, subcontractors, worker, and so forth.

6. Payment is made by the project owner