Revenue and expense validations reconcile both reported revenue and reported expense to bank statement validation of deposits and disbursements. Revenue and expense validations are particularly useful in determining value for real estate/mortgage transactions, secured term loans and cash flow loans.

Overview

Revenue and expense validations are often performed for companies that do not have reliable, audited statements or for subsidiaries whose results are so intermingled within a larger corporate reporting entity that audited statements do not provide a reliable gauge for the target entity. A revenue and expense validation can provide verification of historic results more quickly and less expensively than a full scope audit, and under certain circumstances can provide more meaningful information.