Accounteradventure Now

(All figures rounded to the nearest whole number.)

DR: Suspense Account – $1,000,000 CR: Phantom Liability – $1,000,000

While others would draw swords, Elias drew Form 4562. “Your math is flawed,” he said, licking his pencil. “You’re using double-declining balance on assets with a 10-year life, but you’ve only depreciated them for six. You’ve over-depreciated by 40%.” accounteradventure

Elias sighed. He pulled out three months of bank statements, two ledgers, and a highlighter.

“You’re the first who didn’t try to fight the river,” the merchant whispered. (All figures rounded to the nearest whole number

Elias, grumbling about billable hours, packed his briefcase and set off.

With a flick of his wrist, he entered a single correcting journal entry: 000 CR: Phantom Liability – $1

That all changed when the Royal Audit of Veritas was announced.