TECHNICAL ACCOUNTING MEMO
Devon Coombs, CPA, MBA | www.devoncoombs.com/guides/technical-accounting-memo

This is an educational outline. Adapt it to the issue and your organization's review process.

Subject:
Entity and reporting period:
Accounting basis (for example, U.S. GAAP):
Prepared by / date:
Reviewed by / date:
Status and unresolved matters:

1. QUESTION AND PROPOSED CONCLUSION
State the accounting question and the proposed treatment. Identify any condition that must be resolved before the conclusion can be finalized.

2. FACTS AND EVIDENCE
Describe the relevant transaction, contract clauses, dates and amounts. Reference evidence by document and section. Separate verified facts, management representations and assumptions. List missing facts explicitly.

3. APPLICABLE GUIDANCE
Cite the current authoritative literature and exact relevant paragraphs. Explain why the guidance applies. Use secondary sources as explanation, not as a substitute for applicable authoritative guidance.

4. ANALYSIS
Apply each relevant criterion to the evidence. Show calculations separately. Explain the important judgments, reasonable alternatives and the facts that would change the conclusion. Verify every citation and calculation.

5. FINANCIAL STATEMENT IMPACT
Recognition:
Measurement:
Timing:
Journal entries (date, account, debit, credit):
Presentation and disclosures:
Affected balances and reconciliation:

6. IMPLEMENTATION AND CONTROLS
Process owner:
Required system or policy change:
Control, frequency and evidence:
Exceptions and follow-up owner:

7. REVIEW AND RESOLUTION
Reviewer questions:
Response and supporting evidence:
Open issue / owner / due date:
Final conclusion and approval:

AI USE, IF APPLICABLE
Approved environment and permitted data:
Material AI-assisted steps:
How sources and calculations were independently verified:
Reviewer changes retained: