Reconstruction of Financial Records
A&C experts can assist in reconstructing accounting and other business records. Having proper accounting records is crucial to business owners in gaining insight of the true performance of their business. This service is usually beneficial not only to owners and managers of a business but also to attorneys, trustees and their clients. Reconstruction accounting records may be required by attorneys, trustees and business owners due to many reasons such as:
- Erroneous or incomplete records missing material transactions
- Loss of computerized records due to calamities and poor back-up procedures
- Detection of fraud
There can be no analysis of books of records if the financial data does not exist in a format that lends itself to analysis. Reconstruction is an important step before determining the amount of a defalcation, investigate falsified financial statements or records, trace assets and understand financial transactions, results of operations and/or other elements of financial reporting.
If certain documents are missing, A&C can also assist with reconstruction accounting by using other business records to determine the amount of a defalcation from breaches of fiduciary duty, impact of certain events on an affected business, and the cause of a business failure. The detection of a bankruptcy fraud scheme can be a complex, demanding task in itself, one that demands a forensic accountant’s focused, dedicated attention. A&C specializes in reconstruction accounting for the following industries – professional services, manufacturing, distribution, real estate, healthcare, transportation, energy, financial services and other industries.