How to Record Genetic Counseling Revenue Allocation
Revenue recognition for bundled genetic testing services that include both the laboratory diagnostic and a professional genetic counseling session.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Accounts Receivable | dr | 1,200.00 | - |
| Revenue - Lab Diagnostic Service | cr | - | 950.00 |
| Deferred Revenue - Genetic Counseling | cr | - | 250.00 |
💡 Accountant's Note
When a lab test and counseling are sold together, revenue is allocated based on Standalone Selling Price (SSP). Revenue for the test is recognized when results are delivered, while counseling revenue is deferred until the session occurs.
Practitioner & Systems Framework
💻 ERP Architecture
Requires multi-element arrangement (MEA) functionality to auto-split the invoice based on SSP rules.
⚠️ Audit Flags
Large balances of aged deferred revenue where counseling sessions were never scheduled or performed.
📄 Required Documentation
Evidence of SSP for both testing and counseling, and logs of completed counseling sessions.
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Expert Analysis by Qusai Ahmad
General Accountant Supervisor & IFRS Specialist
Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.
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