How to Record CAS 414 Cost of Money
Records the imputed cost of facilities capital employed in contract performance as an allowable cost under CAS 414.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Work in Process - CAS 414 Cost of Money | Debit | 12,500.00 | - |
| Credit for CAS 414 Cost of Money Applied | Credit | - | 12,500.00 |
💡 Accountant's Note
CAS 414 allows contractors to recover an imputed cost of capital based on the average net book value of facilities used. This entry recognizes the cost as an element of total contract cost while crediting an contra-expense or income account as it is not a cash outlay.
Practitioner & Systems Framework
💻 ERP Architecture
Usually calculated via a specialized CAS burdening module in GovCon ERPs like Deltek Costpoint.
⚠️ Audit Flags
Incorrect treasury rate used or inclusion of non-allowable assets in the investment base.
📄 Required Documentation
Form CASB-CMF and documentation of the Treasury Secretary’s semi-annual interest rate.
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Discussion & Community Questions
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