Accounting for construction costs is a fundamental principle in business that helps organizations accurately track and report their expenses. It involves analyzing and documenting all relevant costs associated with the construction project, such as materials, labor, equipment, production costs, design fees, and more. A thorough accounting system is essential for tracking the financial progress of a construction project and maximizing profits. Proper accounting for construction costs also ensures compliance with all applicable regulations, freeing businesses from potential legal issues down the road. Put simply – a great accounting system is key to any successful construction project.