Construction expenditures should be debited when
In late June, the Everready Construction Co. submitted a $600,000 progress billing on a construction contract. On July 2, the bill was approved for payment, subject to a five percent retention, as provided by the contract. Construction expenditures should be debited when (Points : 2)
The bill is approved for payment.
The bill is received.
The bill is paid (except for the five percent retention).
The final five percent of the bill is paid.