Purchase Accounting Made Simple

Description

Acquisition accounting turns a signed deal into numbers you can report. However, it’s also where costly errors happen.

Purchase price allocation (PPA) has many moving parts. For example, you may need an opening balance sheet, a working capital true-up, cut-off checks, earnouts, and clean journal entries. As a result, teams can miss details or lose support.

That’s why Purchase Accounting Made Simple gives you a clear, step-by-step workflow. Instead of guessing, you follow a proven process from purchase price setup to final tax allocation.

The workbook follows the order deals happen. First, you set up the purchase price and funding. Then, you build the opening balance sheet. Next, you confirm assets and liabilities. After that, you handle working capital and cut-off timing. Finally, you complete the tax allocation.

With this system, you can:

• Set up purchase price and funding

• Build the opening balance sheet

• Check assets and assumed liabilities

• Run working capital true-ups

• Review cut-off timing

• Record earnouts and contingencies

• Post journal entries that reconcile

• Finish Form 8594 asset class allocation

Additionally, the workbook includes a live example deal. So, you can see how values move from start to finish before you use it on a real transaction.

This workbook supports:

• Controllers

• CFOs

• Deal accountants

• Corporate finance teams

• Private equity portfolio finance teams

• Advisors who support M&A

When you need clarity, a simple process helps. Therefore, this tool keeps your work clean, complete, and easier to review.

This isn’t theory. Instead, it’s a practical system for real deals.

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🔷 WHAT’S INCLUDED

Everything is laid out in a clear order. Plus, each template helps you track support and reduce rework.

✔ Workflow map for acquisition accounting
✔ Purchase price + funding framework (sources and uses)
✔ Opening balance sheet template
✔ Asset and liability check templates
✔ Working capital true-up steps
✔ Cut-off review guidance
✔ Earnout and contingent consideration layout
✔ Journal entry templates
✔ Form 8594 support (IRS asset classes)
✔ Live example transaction

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🔷 WHY THIS TOOL EXISTS

Most deal errors come from missing steps. Even so, many teams know the rules.

What they need is a clear path. So, this workbook gives you that path. Then, it helps you document each key choice. As a result, you can tie out numbers faster and with less stress.

This structure helps you avoid:

• Missed liabilities

• Wrong asset labels

• Bad true-ups

• Timing mistakes

• Weak support for review

• Journal entries that don’t tie out

In short, the goal is simple: fewer surprises and less rework.

If this workbook prevents one big error, it pays for itself.

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🔷 WHO THIS IS FOR

This workbook is for people who do deal accounting. Also, it helps advisors who need a clean process.

It fits:

• Controllers who own close and reporting

• CFOs who lead deal work

• Accountants who post entries

• Corporate finance teams who support integration

• PE finance teams who manage acquisitions

• Advisors who help with PPA and Form 8594

Ultimately, if you run or review purchase accounting, you can use this system on every deal.