do the income and deferred revenue accounts on a kit have any revenue impact

AI generated answer (using internal Slack threads):

In NetSuite, the income and deferred revenue accounts on a kit do have a revenue impact. When a sales order or proforma is created, the deferred revenue account is impacted. This is because the sales order is a non-posting transaction, meaning it does not directly affect the general ledger until it is fulfilled and billed. When the invoice is generated, the revenue is moved from deferred to actual revenue. This is part of the Advanced Revenue Management (ARM) process in NetSuite, which separates the billing process from the revenue recognition process. The ARM process allows for revenue to be recognized at different times based on the revenue recognition rules set up for the items. For example, you can set up your items to recognize revenue on billing. Then, when you create a sales order and then an invoice, the revenue is recognized. However, it's important to note that the requirement to defer revenue at contract creation is a disconnect of what deferred revenue is - payment received/invoiced prior to actual recognition of that revenue taking place. If the requirement is that revenue is straight line recognized the entire life of the contract while the amounts invoiced jumps up and down and not known until month end this can be accommodated - it seems like your thought is that deferring revenue is a prerequisite to recognizing revenue, which it is not. ****** Disclaimer: This response was generated by an artificial intelligence assistant based on previous conversations from multiple Slack channels, and may contain inaccuracies or mistakes. ******