How to Account for Project Revenue and Invoices-Fixed Price and POC(percentage of completion)
Summary:
How to Account for Project Revenue and Invoices-Fixed Price and POC
Content (required):
Will you please share with me the accounting for Fixed Price and POC. I have the following URL however I did not see the detail information.
As far as I know the accounting for POC
In summary the correct entry will be:
Revenue Generation (PPM to GL):
DR Unbilled Receivables
CR Revenue
Invoice Generation (PPM to AR):
DR Receivables
CR Unbilled Receivables
Will you please share with me the accounting for Fixed Price and the Payroll entries as well.
Invoice
Dr Customer AR 1,000 USD (1)
Cr Unearned (deferred) Revenue 1,000 USD (2)