Since recognized revenue appears on financial statements, manufacturing firms need to pay close attention to its appropriateness in each reported accounting period. And that’s where ERP software can really help.
Rockville, MD (PRWEB) June 28, 2013
CTS Guides, a leading publisher of manufacturing software reviews, ratings and evaluation tools, has released a new report by Alan Hart, Principal Consultant at Pacific Shine Group, that explores how ERP software can be utilized to improve a manufacturing firm’s revenue recognition process. In the report, Hart seeks to clarify some of the mysteries that surround revenue recognition, while offering concrete suggestions for improving accounting functions so they better support this type of reporting.
“Revenue recognition is simply recording revenue-based transactions, such as sales, in the correct amounts and in the correct accounting periods, which are based on the conditions associated with these transactions,” Hart states. “Since recognized revenue appears on financial statements, manufacturing firms need to pay close attention to its appropriateness in each reported accounting period. And that’s where ERP software can really help.”
After explaining the importance of accurately recognizing revenue, Hart’s report defines the basic principles of revenue recognition; details how to apply those principles to different types of manufacturing operations; and offers several examples that illustrate how a company’s ERP system can be used to appropriately recognize revenue. “With the advent of modern ERP software, revenue recognition transactions can be automatically handled by the system,” Hart added.
This revenue recognition report can be accessed for free at the CTS Guides website (no registration required). Visitors are also invited to download CTS' free Manufacturing Software Selection Kit, which includes detailed reviews of the top ERP packages, side-by-side products comparisons and the exclusive “ERP Software Champion User’s Guide,” a comprehensive resource for evaluating and purchasing new software.
ABOUT CTS GUIDES
Established in 1983 by Sheldon Needle, CTS was the first company to perform hands-on, independent evaluations of software for the middle market. Since then CTS has helped over 23,000 companies select new software and technology. Today, CTS offers software reviews, ratings, evaluation tools and expert advice that help companies select new manufacturing software. The company's recourses are also widely used by CPAs, consultants and software resellers to assist their clients during the software selection process.
ABOUT SHELDON NEEDLE
A former CFO, consultant and software designer, Sheldon Needle has authored or co-authored more than 20 books on software selection and has contributed articles to major publications, including the Journal of Accountancy and Nation’s Business. CTS was the very first company to do hands-on, independent evaluations of software for the middle market. Sheldon speaks with business owners and managers every day about manufacturing software selection and makes personalized recommendations based on their needs and budget. He is widely known and respected throughout the business software community for his independence, integrity and software selection expertise.