How much does a contractor expect to receive from a progress payment request on a $357,000 contract when previously paid $110,000 and after a 10% retainage is applied to a project that is 50% complete?

To determine the progress payment amount a contractor can expect to receive, it is essential to calculate the value of completed work and adjust for retainage.

First, since the project is 50% complete, you calculate the total earned amount based on the contract value. The total contract value is $357,000, and at 50% completion, the contractor has earned half of that amount:

[

\text{Earned Amount} = \text{Contract Value} \times \text{Percentage Complete} = $357,000 \times 0.50 = $178,500

]

Next, retainage is applied to the earned amount. Retainage is typically a percentage (in this case, 10%) withheld until the project is completed to ensure the contractor finishes the work satisfactorily. Therefore, the retainage amount is calculated as:

[

\text{Retainage} = \text{Earned Amount} \times \text{Retainage Percentage} = $178,500 \times 0.10 = $17,850

]

Now, to find the actual amount to be paid out, you subtract the retainage from the earned amount:

[

\text{Net Amount Due