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How Can I Record & Amortize Costs Efficiently to Match Revenue?

edited Jun 2, 2025 2:39PM in Ask A Guru 5 comments

Hi Gurus!

I hope all is well :) I need some help to understand a topic please and I was hoping you may have a ready test case available. I searched through the archives but did not see anything close.

Scenario: Let's say I have a sales order that will be handled by ARM and it has 2 items in it. Item 1's "known" costs are $120 and sales price (SP) is $1200.

And Item 2's already known, incurred in advance for the benefit of the sales order is $240 and sales price is $2400.

And let's say I have, on top of these costs, a contract-level cost of $480.

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