How to configure Project Foreseeable Losses in Microsoft Dynamics AX 2012
The awareness of a project's losses in a preliminary stage is vital for project-based companies. When executing million dollars projects, it is imperative to arrange the finances so as to ensure projects are on track for long-term profitability and success.
For companies managing their project-based activities in Microsoft Dynamics AX 2012, the right configuration can give management visibility into any foreseeable loss. When the estimates of total project costs and revenues indicate a loss, then the provision of foreseeable loss is accounted on the project irrespective of percentage of work completion or the project accounting method followed (Percentage of work completion or completed contract).
In AX 2012, the amount of foreseeable losses provision is usually determined regardless of: