Hi I know that when supplier Purchase Order is received, the system is doing Dr. WIP Material Cr Clearing Account from AP (I call this accrued liability) and AP invoice entry creates transaction Dr. Clearing Account from AP Cr. Payables Account When Sales Order is shipped (Customer Shipment), the …

There is a company level setting to allow for the accrual When enabled, costs in WIP (or from Inventory if STK-CUS). go to this account, and the Invoicing does tran from Accrual Acct to the COS

Hi, When you do a customer shipment, you should see a DR to your ‘AR Clearing’ account (we call it “Shipped Not Invoiced”) and a CR to your WIP accounts. Then when you invoice you should see a CR to you AR Clearing account, offset by a DR to your COGS accounts, and also a DR to your Account Receiva…

I’m doing testing but I see no transaction in my environment, any idea which standard posting rule is used for these transactions? Also in addition does this pull COGS amount and post to AR clearing? this is not exactly what I want, I want to accrue Sales Order amount not cost.

@JTBAQ Shipment debits COGS account/AR Clearing and .credits inventory/WIP Sales amount will be impacted only after the invoice is posted. There is no sales accrual.

this is useful in AP, but i have never in 17 years used or seen a need for AR Clearing. Once it is shipped it is invoiced, why do an accrual.

How can it be a Cost of Sales, before the sale is recognized?

[image] tmcgrady: Once it is shipped it is invoiced, why do an accrual Not all companies ship widgets. For some companies, the transfer of ownership doesn’t occur until the product is delivered or arrives at a freight forwarder for international shipments. From a GAAP standpoint, it’s not a s…

@Mark_Wonsil agree with you Mark. If the sales involve installation, it takes time as well. Recently I have to create a new AP Term for due from the goods receipt date instead of supplier’s invoice date which I had to refer RcvHead for the entered PO.

We have products that require commissioning and customer sign-off before we can bill.

Agreed. we are struggling on this and are doing manual journal entry on this. This should be an enhancement in Epicor.

Does Customer shipment do revenue accrual?

Epicor ERP 10

Mark_Wonsil (Mark Wonsil) August 5, 2020, 7:43pm 14

This thread explains all.

Topic		Replies	Views
Skip AR Clearing and post right to COS Epicor ERP 10	4	3282	February 6, 2018
Recognize Revenue & COS Upon Completion Instead of Shipment Epicor ERP 10 jobs , wip , shipping	7	1959	October 4, 2019
Shipping and Invoicing Process Improvement Epicor ERP 10 e10	12	3297	May 1, 2020
How to handle when the shipment and the invoice fall into different months Kinetic ERP	19	6453	September 12, 2023
Intercompany---Customer Shipment Entry as soon as you pressed shippped it goes to Invoiced. But no AR Invoice Created? Epicor ERP 10 sql	13	1233	June 5, 2019

Does Customer shipment do revenue accrual?

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