Skip to main content

Notifications

Announcements

No record found.

News and Announcements icon
Community site session details

Community site session details

Session Id :
Dynamics 365 Community / Forums / Microsoft Dynamics AX (Archived) / WIP On Account and WIP...
Microsoft Dynamics AX (Archived)

WIP On Account and WIP sales value

(0) ShareShare
ReportReport
Posted on by Vivek_Muralidharan 12

Hi,

I understand that there are 2 WIP accounts that are used in Fixed Price Projects. When estimates are run , WIP is accumulated in WIP sales value account in balance sheet and when invoice is raised , WIP On Account is Credited. 

My question is , are these accounts net off during the project closure? 

Example: Milestone is $1000

WIP sales value balance is $1000 based on remaining forecast principle and the entire amount is invoiced , so balance is WIP On Account will $1000. 

Now when the project is closed or finished, will these accounts automatically net off each other or any periodic should be run to wipe off the balances.

Please clarify.

Thanks ,

Vivek.

*This post is locked for comments

  • Vivek_Muralidharan Profile Picture
    Vivek_Muralidharan 12 on at
    RE: WIP On Account and WIP sales value

    Hi Ludwig,

    Not yet.

    I guess , WIP Sales and WIP On Account effect in Balance sheet will be net off at the end of the project. But if we look at the balance at any time against these accounts , there will be a huge accumulation of value which we will have to eliminate or wipe out.

    Having a huge WIP accumulation in accounts is not advisable right? Also most of the WIP would have lost its materiality. I am not sure what Microsoft has provided for this.

    Having said that , I am not sure whether this is an issue. Hope you can throw some light.

    Thanks , Vivek.

  • Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at
    RE: WIP On Account and WIP sales value

    Hello Vivek,

    Have you been able to get this one fixed in the meantime?

    Would be great if you could keep us updated.

    Many thanks and best regards,

    Ludwig

  • Suggested answer
    Ludwig Reinhard Profile Picture
    Ludwig Reinhard Microsoft Employee on at
    RE: WIP On Account and WIP sales value

    Hi Vivek,

    When the project is finished and the final estimate is posted you write the final invoice and then the WIP accounts should be offset and cleared.

    Best regards,

    Ludwig

Under review

Thank you for your reply! To ensure a great experience for everyone, your content is awaiting approval by our Community Managers. Please check back later.

Helpful resources

Quick Links

Daivat Vartak – Community Spotlight

We are honored to recognize Daivat Vartak as our March 2025 Community…

Announcing Our 2025 Season 1 Super Users!

A new season of Super Users has arrived, and we are so grateful for the daily…

Tip: Become a User Group leader!

Join the ranks of valued community UG leaders

Leaderboard

#1
André Arnaud de Calavon Profile Picture

André Arnaud de Cal... 292,516 Super User 2025 Season 1

#2
Martin Dráb Profile Picture

Martin Dráb 231,403 Most Valuable Professional

#3
nmaenpaa Profile Picture

nmaenpaa 101,156

Leaderboard

Featured topics

Product updates

Dynamics 365 release plans