Which type of items allows tracking time and recording billable hours?

Service items are specifically designed in NetSuite to track time and record billable hours. This is because they represent non-tangible offerings that often require labor and time to fulfill. When an organization provides a service, it typically involves tracking the amount of time spent on that service, which allows for accurate billing to clients based on hours worked.

In contrast, inventory items are tangible products that are stocked and sold but do not typically involve time tracking since they are exchanged as goods rather than services. Assembly items refer to products made up of multiple components that are assembled, and while they might require processing time, they do not inherently track billable hours tied to employee time. Kit items are similar to assembly items, being a collection of various products offered as a single item, and thus do not provide for time tracking in the same way that service items do.

By focusing on service items, organizations can effectively manage their service-based revenue streams, ensuring that all billable hours are captured and invoiced properly, which is essential for accurate financial management and client billing.