USA How to record credit report checks and...

[Tyson]

Hello all,

In what category do I place the following transactions:
-Credit report check of client
-Appraisal of client's house
-401k account management company monthly fee
-Unauthorized transaction due to compromised debit card and subsequent refund of unauthorized transaction.
-Accidental payment to owner's personal credit card from company bank account and subsequent reimbursement.

Thank you in advance!

 

[Tyson]

My CPA answered these questions for me:

Credit report checks and appraisals are best tracked using A/R accounts (they are often reimbursed by the client), but he suggested instead putting them in a COGS account and offsetting them when they are reimbursed.

I don't remember what he suggested for the 401k administrative expense. Maybe Payroll Expense or Professional Fees. I will have to check again.

The unauthorized transactions, refunds of unauthorized transactions, and mistake by owner can all be put under miscellaneous expense.