I'm trying to build up a quick case but its such a simple topic that I'm actually having trouble finding literature to support my point. The only reason its an issue is the large dollar amount.

To put it more anonymous terms, we typically spent $20k a month for a vendor. Out of nowhere, we received a refund check for $100k because they were overcharging.

I know its not extraordinary, but I wanted to get that thought out of the way.

Now, the basic idea here is that since it was previously expensed on that line item, we should post it all to the current month as a one-time event - matching principal. If it were the reverse and we had to pay them $100k, we'd post it all in the current month to recognize it. It is essentially a negative expense.

What should I use to cite this? Looking through the FASB website, I'm struggling to figure out where to hitch my argument too... like I said, it seems like a very simple issue.

Any thoughts?