DCOGS (Deferred COGS) in Brief

Deferred COGS is one feature that is still new for many of the users. The concept is briefly explained in this write-up. All Gurus are requested to provide their inputs to enrich this content further.

before introduction of this functionality which is not helping COGS directly matching to the revenue, the value of goods shipped from inventory were accounted to COGS upon ship confirm. Here there is a possibility of error and discrepancy when the revenue may not yet have been earned on that shipment at the time of ship confirm. And this functionality was with an assumption that the Ship Confirm is logged on basis of off-line confirmation from the customer on