Understand sales revenue calculation

When a purchase or production lot is sold, the generated sales revenue is used as input for settlement calculation. Sales transactions go through various processing stages, and a sales order can have one of the following statuses: registered, shipped, or invoiced.

The status of the revenue source is crucial information for settling with a vendor. For example, revenue from an unposted sales transaction is less certain (as the price can still be easily changed), implying more risk when used in the settlement process. The following sections provide insights into this risk:

• Not Shipped: represents revenue from pending sales orders that have not been posted.
• Shipped: represents revenue derived from value entries generated from the shipping process.
• Invoiced: represents revenue derived from value entries generated from the shipping process.

Each section logically shows revenue from that specific source or sales phase. The revenue is categorized into Gross Revenue, Discount, and Net Revenue in each section. Gross revenue represents the direct unit price multiplied by the quantity sold, shipped, or invoiced for the respective sales document line.

The Business Central and the Aptean Trade Management extension provide various options for establishing discount agreements with customers, which are automatically applied to sales lines upon creation. The Aptean Grower Return extension enhances these capabilities by introducing additional setup options for discounts. For more information, see Set up item charges.

Net revenue is gross revenue minus the total discount granted (from Business Central or any of the Aptean extensions). When viewing any of the sections (Not shipped, Shipped, or Invoiced), you gain insight into the total gross revenue, discount granted, and net revenue. In cases where a purchase or production lot is sold in multiple transactions, the Account Sale or Pooling page displays the cumulative sum of these transactions.