HQ0858-21-R-0014_Attachment L-06 Accounting System Checklist.pdf

HQ0858-21-R-0014

Preaward Survey of Prospective Contractor Accounting System Checklist

Instructions:

1. Mark “X” in the appropriate column.

2. On Page 2, provide a narrative describing how the current accounting system supports your response to each item. Be as descriptive as necessary.

3. Answer the questions on page 3.

Contractor Name:

Point of Contact:

(Name/Ph #/email)

CAGE Code:

DUNS Code:

Yes No N/A Note

1. Is the accounting system in accord with generally accepted accounting principles? 1

2. ACCOUNTING SYSTEM PROVIDES FOR:

a. Proper segregation of direct costs from indirect costs. 2

b. Identification and accumulation of direct costs by contract. 3

c. A logical and consistent method for the allocation of indirect costs to intermediate and final cost objectives. (A contract is final cost objective.) 4

d. Accumulation of costs under general ledger control. 5

e. A timekeeping system that identifies employees' labor by intermediate or final cost objectives. 6

f. A labor distribution system that charges direct and indirect labor to the appropriate cost objectives. 7

g. Interim (at least monthly) determination of costs charged to a contract through routine posting of books of account. 8

h. Exclusion from costs charged to government contracts of amounts which are not allowable in terms of FAR 31, Contract

Cost Principles and Procedures, or other contract provisions. 9

i. Identification of costs by contract line item and by units (as if each unit or line item were a separate contract) if required by the proposed contract. 10

j. Segregation of preproduction costs from production costs. 11

Approved for Public Release 21-MDA-10824 (18 May 21)

3. Accounting system provides financial information:

a. Required by contract clauses concerning limitation of cost

(FAR 52.232-20 and 21) or limitation on payments (FAR

52.216-16). 12

b. Required to support requests for progress payments. 13

4. Is the accounting system designed, and are the records maintained in such a manner that adequate, reliable data are developed for use in pricing follow-on acquisitions? 14

5. Is the accounting system currently in full operation? (If not, describe in Page 2 narrative which portions are (1) in operation, (2) set up, but not yet in operation, (3) anticipated, or (4) nonexistent.) 15

Instruction: Use this section to explain how the current accounting system supports your response to each item. If a response is N/A provide further explanation. Use as much space as needed. Provide references to current policies and procedures if applicable.

Note Narrative

Approved for Public Release 21-MDA-10824 (18 May 21)

PLEASE ANSWER ALL QUESTIONS BELOW:

ARE YOU PLANNING ON BIDDING ON COST TYPE CONTRACTS? (YES/NO)

ARE YOU READY FOR A DCAA AUDIT? (YES/NO)

HAVE YOU READ THE REQUIREMENTS IN THE SF1408? (YES/NO)

HAVE YOU READ THE "Information for Contractors" DOCUMENT ON DCAA's

WEBSITE (http://www.dcaa.mil/)? (YES/NO)

PLEASE IDENTIFY THE DCAA OFFICE THAT IS COGNIZANT OVER YOUR COMPANY -

(Found on DCAA's website (http://www.dcaa.mil/)

PLEASE IDENTIFY YOUR COMPANY’S POINT OF CONTACT (Name/ph #/ email)

If an Outside CPA/Consultant/Non DoD agency has reviewed your Accounting System, please provide a copy of the Report.

[Insert name and title of individual responsible for design of the accounting system]

Name: Signature:

Title: Date:

Contractor:

Approved for Public Release 21-MDA-10824 (18 May 21) http://www.dcaa.mil/) http://www.dcaa.mil/) http://www.dcaa.mil/) http://www.dcaa.mil/)