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Revenue Recognition based on Item Fulfillment
We've set the option "Invoice in Advance of Fulfillment" = YES.
We don't have Advanced Revenue Management Licensed.
We generate the invoice and get following GL impact:
DR Receivables 200
CR Revenue 200
We really need
DR Receivables 200
CR Unearned Revenue 200
Next after we fulfill half of the order we get following (assuming item cost is half of the price)
DR COGS 50
CR Inventory 50
At this point we need to recognise the revenue as:
DR Unearned revenue 100
CR Revenue 100
My question:
Will Advanced Revenue Management (ARM) handle the above automatically and should we license it?
Or is there another way to handle it?
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