Question

Revenue Recognition - adding late projects

  • 23 November 2022
  • 2 replies
  • 79 views
B
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Hi

 

When you have created a new Record in the form ‘Periodical capitalization and Revenue Recognition Project’, all relevant projects will be fetched at that time and it’s not possible to add new records afterwards as far as I can see?

 

This is a problem because if a new project comes in late then you need to roll everything back, remove the record, re-create it and re-do all the capitalisation and revenue recognition all over again.

 

Is there any way to add newly approved project once you’ve started?  

 

2 replies

N
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We have the same problem. Unfortunately the IFS Finance consultant working for our company told us that there is no other solution than rolling everything back, delete the procedure and recreate it, and re-do the whole revenue recoginition process again.

 

A
Rank
Userlevel 7
Badge +16

Hi,
I am afraid yes, this is the case. Revenue recognition should be performed as the one of last steps in period completion process - after it is executed you should have no additional costs or revenue accounted in this period, at least for projects being subject of recognition. 
In case of additional costs or revenue - they are impacting calculation and there is no “partial rollback” or “partial calculation” concept in revenue recognition, everything must be posted in the same capitalisation and recognition vouchers. 

Regards, Adam

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