Items are a master data term

Item suggests a single or ala carte item in the singular sense versus a group of items bundled in an offer.
An item differs from a component as components do not have a price for customer presentation nor do components change the profit margin on an offer or item.

An offer may include any type of item, more than one item and one or more components. 

Types of items are going to change the internal financial reporting on the bundled items in a consistent way for a healthy organization or agency. 

Financial Management Capability-Item Setup (backend)

Item Type - Governing Rules

1. A hardware item may be recognized immediately at the time of shipment.  A hardware item cannot be classified as a hardware item if any software or remote service items enable the hardware to function for the customer or supply chain. 

2. A software item may be recognized by dividing the whole into 12 equal amounts to total into the whole amount upon reaching the 12th month.  A customer would add the software item to their assets on their financials.  

3. A service item may be of a sub-type which recognizes support via a time based response, with 12 months divided from the whole service item, remote service response based on monitoring a customers environment with software and a person qualified to interpret the information collected or milestone based on predefined deliverables. 

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Items are a master data term
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