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Yeah you gotta know journal entry mechanics to do this job with any degree of competence
Mentor
If you can’t think through debits and credits you’re not going to get that far in FDD.
It definitely helps to be familiar with basic entries, but our FDD counterparts heavily lean on us (AAS) for more technical aspects on deals (e.g., rev rec considerations, etc.).
Yes you’d need to know the basics and the concepts, but any real technical topics like lease accounting, inventory capitalization we’d include FAAS team to help on the deal.
Just gotta know the basics. Most people in FDD are not overly technical (compared to accounting advisory)
To be clear - basics means you should know what 606, 842, and etc are (I’ve come across college hires who don’t which was surprising) and generally how they apply to financials. But do I know the technical accounting behind some very nuanced or specific cases? Def not - we have AAS support the team as needed there
I'm thinking about debits and credits multiple times per day at minimum as an SM.