Infidox Technologies || Revenue Recognition

    

Revenue Recognition

 

 

In oracle receivable Run the Revenue Recognition program to generate the revenue distribution records for your invoices and credit memos that use Invoicing and Accounting Rules. You assign accounting rules to recognize revenue over several accounting periods. The Revenue Recognition program will create distribution records for the invoices and credit memos that you create in Receivables. Then run the create accounting program, it will post the revenue-related journal entries to GL.

 

Accounting rule types

Accounting rules helps to Create Revenue Recognition Schedules for your invoices. Accounting rules determine the number of periods and percentage of total revenue to be recorded in each Accounting period. You can use accounting rules with transactions that you import into Receivables using Auto Invoice and with invoices that you create manually in the Transaction windows. You can define an unlimited number of accounting rules.

 

¡  Fixed Schedule

¡  Variable

¡  Daily Revenue Rate, All Periods

¡  Daily Revenue Rate, Partial Periods  

 

Invoicing Rules

Invoicing rules determine the accounting period in which the receivable amount is recorded. You can either manually assign invoicing rule to transactions you create or import these rules into receivables using the Auto Invoice utility.

Types:

¡  Bill in Arrear

¡  Bill in Advance