After your accountant has sent you the preliminary financial statements for your property. The financial statement is a reflection of all of the activity that took place at your property during a given time period. ( 21st-20th, 26th-25th or the 1st - EOM )  Please follow this checklist to verify the accuracy of the information, review the financial health of your property and provide any changes to your accountant.

1. Balance Sheet
   • GL 1105 Operating Cash
     1. Review net change
   •  GL 1205 Accounts Receivable – Tenants
     1. Review net change
   • Accounts Payable
     1. Review net change and aged open invoices

• GL 2400 Prepaid Rents

i. Review net change for accuracy

• • GL 3110 Capital Withdrawals
    1. Determine if the current distribution is sustainable

(Net income less capital withdrawals 3110 and principal GL 2505)

2.  Profit and Loss Variance
   • Review any major positive and/or negative variances and reference the General Ledger for description of charges
   • GL 5160
     1. Accrual based properties will not reflect management and asset fees until fees are submitted to accounting
   • Confirm monthly reoccurring invoices have been reflected.  For example, advertising, utilities, landscape, etc.
   • Net Operating Income (NOI)
     1. Did we meet budget?
     2. What were the contributing factors? Vacancy, Invoices from other periods

3. 3 Month Profit and Loss Variance
   • Review YTD budget and actual for significant increases and/or decreases.
   • Are we consistent with expenses each month? Yes

4. General Ledger
   • Review for accuracy

5. What do I send to my accountant?
   • Reclasses:
     1. GL account, dollar amount, description and correct GL

• • Accruals:
    1. Work must have already been completed
    2. Actual invoice amount, not budget amount
    3. Accounting will determine the accrual amount on utilities if no invoice has been received.

• Management Fee
• Asset Management Fee (if applicable)
• Accrual/Reclass spreadsheet
• Additional questions and/or comments