I went through all 16 lines. December accruals total **$133,234.98**: $90,533.68 in account 2100 and $42,701.30 in 2110. That's up $36,370 (+38%) from November's $96,864.95. Of the 16 lines, 3 need fixing before close, 4 need more support, and the other 9 look reasonable.

## Fix before close

| ID | Issue | Action |
|---|---|---|
| **AC-14** Coastline fuel surcharge, $6,310.20 | `invoice_received = Y`, and the support is the carrier's invoice. Once an invoice exists, the cost belongs in accounts payable (AP). Keeping it as an accrual too risks recording it twice. | Check whether the invoice is already posted in AP. If it is, remove this accrual. If not, post the invoice and drop the accrual. |
| **AC-07** Lanternfly catalogue milestone, $5,400.00 | There's no `support_ref`. The amount is the same as November and has been open 2 months with no invoice. A PO alone doesn't show the milestone was delivered. | Get confirmation that the first milestone was delivered by 12/31. If it wasn't, reverse the accrual. |
| **AC-06** Summit racking repair, $7,600.00 (new) | The support is only a PO. An accrual needs the work to have been done by 12/31, not just ordered. Also, racking work can sometimes count as a long-term asset rather than a repair expense. | Confirm the repair was finished in December, for example with a service ticket or sign-off. Also confirm with Tomas that it's a repair and not an asset. |

## Needs more support

- **AC-01, Harlow & Finch legal fees, $12,500.** This is the riskiest line. It's a flat estimate that doesn't reverse, has been open 7 months and has no invoice. Ask the law firm for a year-end statement of unbilled fees, and true the accrual up or down to it. Because this is a lease dispute, Dana should also check whether any likely loss from the dispute itself needs to be recorded or disclosed. That would be separate from the legal fees.
- **AC-16, Tallgrass inbound freight, $6,330 (+121%).** The note explains the jump: inventory was bought early, ahead of a January price increase. Freight on inventory coming in should normally be added to the inventory's cost rather than expensed, so check which account the other side of this entry hits. Also confirm the goods were in our hands by 12/31 under the shipping terms.
- **AC-05, Palmetto temp labour, $9,842.60 (+134%).** It's labelled "last two weeks", but the amount more than doubled. Check it against the December timesheets and confirm that November covered the same length of time.
- **AC-02, Brightline audit, $18,000 (doubled).** The engagement letter explains the second interim visit. Confirm the December visit actually happened, and that nothing for the FY25 year-end audit work done in 2026 has been accrued early.

## Housekeeping

- **"Reversing" lines open more than 1 month.** AC-02 and AC-07 (2 months) and AC-11 (3 months) are marked as reversing but show more than 1 month open. Either they aren't reversing automatically or the `months_open` count is wrong. Check the January auto-reversal setup.
- **AC-11, Kingsley common-area charges (+46%).** This looks consistent with building up a quarterly estimate: $4,620 for 2 months, then $6,750 for 3 months, about $2,250–2,310 a month. Just confirm $6,750 is the full Q4 amount and doesn't include November's balance on top.
- **AC-04 (software licences) and AC-10 (health premium).** These are normally billed in advance, so it's unusual that there's no December invoice. Check that the costs aren't also sitting in prepaid expenses or AP.

## Look reasonable

AC-03, AC-08, AC-09, AC-12, AC-13 and AC-15 are usage- or contract-based, have support, and have reasonable changes from November. AC-09's small decrease matches a loan being paid down. The freight increases on AC-13 and AC-15 (+25% and +37%) fit December volume, but tie them to the carrier and parcel logs.

**Net effect of the fixes:** if AC-14 is already in AP and AC-06 and AC-07 can't be supported, accruals drop by up to **$19,310.20**, to about $113,925.