Reconciling the balance sheet


Question:

Should the NET WIP (under billings and over billings) tie to back to my YTD NET Profit and Loss - Revenue (under billings and over billings) number? I am having a difficult time reconciling the balance sheet and profit and loss accounts against each other.

Notable:

It's a construction company that has fixed-price projects and uses the percentage of completion method.

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Finance Basics: Reconciling the balance sheet
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