How to Record Technical Feasibility Study Revenue
Recording revenue for a standalone performance obligation involving a preliminary technical assessment before a major implementation.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Accounts Receivable | Asset | 8,000.00 | - |
| Consulting Revenue | Revenue | - | 8,000.00 |
💡 Accountant's Note
Recognized at the point in time when the final feasibility report is delivered to the customer, satisfying the performance obligation.
Practitioner & Systems Framework
💻 ERP Architecture
Ensure the feasibility study is defined as a distinct performance obligation in the revenue management module.
⚠️ Audit Flags
Recognition of revenue prior to the main project commencement.
📄 Required Documentation
Completed feasibility report and customer acceptance email.
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