How to Record GFE Utility Consumption Charges
Recording the cost of electricity, water, or gas consumed by Government Furnished Equipment (GFE) when separately metered and billed.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Indirect Overhead - Facility Utilities | Debit | 1,200.00 | - |
| Accrued Expenses | Credit | - | 1,200.00 |
💡 Accountant's Note
Records the consumption of utilities required to operate government-owned machinery on-site, typically categorized as an indirect cost unless specific contract terms allow for direct billing.
Practitioner & Systems Framework
💻 ERP Architecture
Allocate via the facility overhead pool based on square footage or machine hours.
⚠️ Audit Flags
Comparison of utility bills to the inventory of GFE currently in use.
📄 Required Documentation
Meter readings and sub-metering invoices.
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Discussion & Community Questions
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