If you want to recognize COGS based on a fixed monthly amount, select this calculation method and complete the Fixed Monthly Amount field.

This is the amount that you want recognized monthly as the COGS for this project. No other fields on this screen apply.

Each time you execute the Create Cost of Goods Sold Entries screen, the balance of the general ledger account designated with the WIP TRANS OUT Function Code for that project's account group is summarized for the fiscal year and period of calculation. This amount, which is the COGS already posted for the period, is subtracted from the COGS fixed monthly amount to arrive at the amount to post. The owning organization of the project is used for calculation and posting purposes. Because this method is not dependent on billings, you can enter it at any level.

You can compute the COGS entry at any time (the Create Cost of Goods Sold Entries screen). After posting the COGS entry, run the Compute Burden Cost screen again, followed by Compute Revenue screen. If you want a WIP Project Status Report, you must run the Update Project Status Report Table screen before printing the report.