How to Record DFARS NIST 800-171 Audit
Records the cost of third-party assessments for cybersecurity compliance as required by DFARS 252.204-7012.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Cybersecurity Compliance Expense - G&A | Expense | 15,000.00 | - |
| Accrued Liabilities | Liability | - | 15,000.00 |
💡 Accountant's Note
Costs for external audits to verify NIST 800-171 security controls are generally allowable as G&A expenses provided they are consistently treated.
Practitioner & Systems Framework
💻 ERP Architecture
Assign to a G&A sub-account specifically for regulatory compliance and cybersecurity.
⚠️ Audit Flags
High external audit costs compared to previous years or industry benchmarks.
📄 Required Documentation
Audit engagement letter, final audit report, and itemized invoice from the security firm.
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