producing product for lease

our company normally manufactures products and sells them to our customers. 
there is a normal customer order and the sale results in an invoice. in the 
ledger the sales and accounts receivable accounts are updated with the sales 
dollars and the inventory and cost of goods sold accounts are updated with the 
product cost dollars.

we now have a new contract where we will manufacture product to a customer 
specification, but we will not sell the end product to the customer. instead we 
will retain ownership of the product and lease it to the customer. we will need 
to generate monthly lease invoices instead of a single sales invoice.

does anybody have any experience with bpcs and this type of contract?

some of your questions are:
do we keep the value of the product in inventory, or do you transfer it to 
fixed assets and depreciate it?
how do you get bpcs to generate monthly lease invoices? to make it even more 
difficult, product can be shipped to different installation locations and we 
need to send a separate lease invoice to each location that we have shipped 
product to.
how does this type of arrange affect traditional P&L reporting?

this may be a bit much to ask, but any thoughts, experiences, or suggestions 
that you have would surely be appreciated. or bpcs version is V6.04 mixed mode.

chick doe
barton instrument systems

voice (626)937-0395



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