IT Financials Glossary


Posted in Purchasing by mgentle on August 26, 2010

Receiving: the accounting process whereby the goods or services associated with a PO are recorded as having been delivered. Since most IT purchases are for services and for people (contractors and consultants) rather than physical goods in an inventory or stock environment, receiving usually means entering the number of days people have worked (time and materials) or the monetary amount corresponding to a project milestone payment (fixed-price contract).

In accounting software systems, once goods or services have been received, accruals can be generated.


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  1. Accruals said, on April 5, 2011 at 20:05

    […] In accounting software systems, accruals can be generated after the corresponding goods or services have been received. […]

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