Defense, Aerospace & Government Contracting

How to Record DCMA Property Audit Support

Records the labor costs associated with personnel supporting a DCMA Government Property Management System Audit.

Account NameTypeDebit ($)Credit ($)
G&A Expense - Audit Support (Allowable)Debit3,800.00-
Payroll ClearingCredit-3,800.00

💡 Accountant's Note

Internal labor used to facilitate government audits (DCMA or DCAA) is generally an allowable G&A cost, provided the time is properly documented and the underlying system is for contract performance.

Practitioner & Systems Framework

💻 ERP Architecture

Setup of a specific 'Audit Support' charge code in the timekeeping system.

⚠️ Audit Flags

Spikes in G&A labor during known audit windows.

📄 Required Documentation

DCMA Audit notification letter and labor distribution reports.

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Expert Analysis by Qusai Ahmad

General Accountant Supervisor & IFRS Specialist

Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.

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