New York Inc. began operations of its construction division on October, 2009, and entered into contracts for two separate projects.

New York Inc. began operations of its construction division on October, 2009, and entered into contracts for two separate projects. The Manhattan project contract price was $600,000 and provided for penalties of $10,000 per week for late completion. Although during 2010 the Manhattan project had been on schedule for timely completion, it was completed two weeks late in August 2011. The Queens project original contract price was $800,000. Change orders during 2011 added $10,000 to the original contract price.