Transactions capture the total cost of labor, materials, equipment, and other expenses that can be charged back to departments for services and other investments, such as assets, applications, and projects. Transactions can be initiated from timesheets, imported from external systems, or entered manually. Work-in-progress transactions are an important stage in the accounting process that enables you to adjust and review transactions before they get invoiced.
Entering transactions manually enable you to capture the total cost of an investment's materials, equipment, other expenses, and labor.
For example, you can use transactions to post the cost of servers used for application development and charge the cost to the consuming department that commissioned the application development project.
All transactions are entered as vouchers and then posted to Work-in-Progress (WIP) for the transactions to appear on a billing invoice or department invoice.
Work-in-progress (WIP) is an important, fundamental accounting concept where all costs on an investment are captured and capitalized. Before transactions can be processed, they must be posted to WIP.
You can post transactions to WIP, and adjust posted WIP transactions, and approve or reject WIP adjustments.
The set of WIP tables contain entered transactions that can be subsequently posted to an accounting system. Post to WIP recognizes negative values when transactions are posted. Once a transaction has been posted to WIP, it has passed all validation criteria and is available for billing, invoicing, and posting to the general ledger (GL).
Detailed records of modifications, adjustments, and billings are logged. You cannot delete posted WIP transactions, but can change them through the WIP adjustment process.
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