Professional Services

Non-Rechargeable Disbursements Absorbed by Firm

Recording out-of-pocket costs that the engagement letter does not permit the firm to recover from the client.

Account NameTypeDebit ($)Credit ($)
Engagement Disbursement Expense (Non-Recoverable)Expense (+)320.00-
Cash / Accounts PayableAsset/Liability (−)-320.00

💡 Accountant's Note

Where the contract caps disbursements or excludes certain categories (e.g., internal printing, local taxis), those costs are absorbed as an operating expense reducing the engagement margin. They are not billed to the client.

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