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Revenue Recognition Method: Straight-line, by even periods

edited Jun 3, 2022 5:28PM in Accounting / ERP

When Straight-line, by even periods is used as a Revenue Recognition Method all Revenue to be recognized is spread evenly for the periods covered from the Rev Rec Start Date to End Date.

Here is an example:

Amount: $10,000.00 

Start Date: January 29, 2022

End Date: April 20, 2022

1.) Count all Periods from Rev Rec Start Date to End Date

2.) Divide Revenue Amount by the total number of periods

Revenue Amount per period will be equal.

I hope this helps ?

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