Revenue Recognition based on percentage of completion of work.

Hello Experts,
My customer has the following scenario for revenue recognition.
My customer sell services. So I create a project and attach to the sales contract which has mile stones for billing.
After completion of milestones, billing is triggered automatically. No issues on this part.
When comes to revenue recogntion, they recognise the revenue after the work completion and nothing related to billing.
They take forecasted manhours(planned hours) for the services and take the time sheet hours (actual hours) and calculate the percentage of completion. They apply the percentage in revenue and based on the percentage of completion, they do revenue recognition.
My questions..
1. Is this a standard functionality in SAP? My customer is in sap 4.7
2. If this is not a standard functionality, then how to tackle this issue. Is there any work around?
Any type of help would be grateful.
Regards
Srinivasan Desingh

Hello,
The Best Practices document alongwith the scenarios supported in standard SAP is available as an attachment in the Note 1172799.
Regards,
Raghavendra YN

Similar Messages

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    <b>Don't forget to to reward points by marking as "Helpful" or "Very Helpful" or "Solved p</b>roblem".

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    Moderator: This thread has been locked due to crossposting.
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    >
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    Hi,
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