Non-Profit

Government Cost-Reimbursement Billing

Recognizing revenue after spending money on a government-funded project that pays on a reimbursement basis.

Account NameTypeDebit ($)Credit ($)
Grant Receivable (Government)Asset (+)12,000.00-
Grant Revenue (Earned)Revenue (+)-1,200.00

💡 Accountant's Note

Many government grants are not paid upfront. You spend your own cash first (Expense), then this entry recognizes the revenue and the receivable from the government for that exact amount.

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