• Revenue Recognition
• Revenue Accounting
• Event-Based Revenue Management
Enter an accounting rule Type.
1.Enter Fixed Schedule to prorate revenue recognition evenly over a predefined period of time. The revenue recognition schedule is always the same every time you choose this accounting rule. For example, if you have four schedules for your rule with this type, you will recognize twenty-five percent of your revenue at the end of each schedule.
2.Enter Variable Schedule to later specify, during invoice entry, the number of periods over which you want to recognize revenue for invoices to which you assign this rule. You can assign this type of accounting rule to invoices that you manually enter in the Transaction window or import into Receivables using AutoInvoice.
The revenue recognition schedule changes for invoices that are assigned this type of accounting rule depending upon the value that you either pass through AutoInvoice or specify when you manually enter an invoice.
3.Enter Daily Revenue Rate, All Periods to have Receivables use a daily revenue rate to calculate the precise amount of revenue for each full and partial period in the schedule. Use accounting rules of this type to meet strict revenue accounting standards.
4.Enter Daily Revenue Rate, Partial Periods to have Receivables use a daily revenue rate to calculate the precise amount of revenue for only partial period in the schedule. This rule provides you with an even, prorated revenue distribution across the schedule's full periods.
Enter Daily Revenue Rate, All Periods and Enter Daily Revenue Rate, Partial Periods. revenue recognition will work as below for these rules
In Advance Amount Partial period All Period D
aysTotal amount is =1000
Total Number of days= 154
For day=1000/154=6.49
All Period: Amount is equally divided for each bay
Partial period : 17*6.49 (110.39 in first period) +15*6.49 (97.41 in last period) and remaining amount is equally distributed for remaining period irrespective on number of days in the periods (
Note: If there are any rounding differences that will be adjusted in the last periods
