Real Estate

Pre-Acquisition Due Diligence Costs

Paying for property surveys, environmental assessments, and structural inspections before completing a purchase.

Account NameTypeDebit ($)Credit ($)
Building / Land (Fixed Asset)Asset (+)5,000.00-
Cash / BankAsset (-)-5,000.00

💡 Accountant's Note

Due diligence costs directly attributable to acquiring a specific property are capitalized as part of the asset cost. If the deal falls through, these costs are expensed immediately.

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