Allocation of unrecognized revenue when termination date set but no remaining open perf obligations?
Summary:
What happens to a document line's remaining unrecognized revenue when a termination date is provided for a document line, but there are no additional open performance obligations left on the contract?
Content (please ensure you mask any confidential information):
The Using Revenue Management docs state that if a termination date is provided for a document line, then the remaining unrecognized revenue from the terminated line will be reallocated to any remaining open performance obligations on the contract. However, nothing is said about what would happen if there no other open performance obligations at the time a line is terminated. A simple example would be a contract with two document lines (a) and (b), where the performance obligation for (a) has already been satisfied by the time that a termination date is provided for document line (b). What happens to