Professional Services

Engagement Close-Out — Final Revenue True-Up

Recognizing the final tranche of revenue on a fixed-fee project once all deliverables are confirmed complete.

Account NameTypeDebit ($)Credit ($)
Accounts Receivable (Final Invoice)Asset (+)8,000.00-
Contract Asset (Unbilled — Cleared)Asset (−)-5,000.00
Professional Fee Revenue (Final Tranche)Revenue (+)-3,000.00

💡 Accountant's Note

At project completion, the final invoice is raised and all remaining contract assets are converted to receivables. Any revenue not yet recognized (deferred under milestones or percentage-of-completion) is recognized at this point.

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