DCAA Accounting System Requirement
DCAA auditors are not just looking to see if a contractor’s accounting system meets a checklist. It is crucial that a contractor have full control to direct charging of all indirect expenses and vice versa. It is very helpful if the contractor can show, via flowchart or other diagram, how the expense flows from the order to the actual purchase requisition. Contractors are required by DCAA auditors to post costs at least on a monthly basis. This includes all costs including direct and indirect.
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