Library / Management Accounting Principles Framework
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MA.8:8 - Common Anti-Patterns and How to Avoid Them

Calling a short-period total lifetime value. State the horizon and retain any material omitted continuation.

Using non-purchase as proof of departure. Obtain an activity model appropriate to the relationship.

Copying an early cohort’s economics without checking the expansion conditions. Examine changed acquisition, mix, retention and resource thresholds.

Charging sunk acquisition or development again to the continuation choice. Preserve the historical account and supply the actual future differences.

Ending the product account when sales stop. Carry surviving service and closure obligations into the future baseline.