1. Order Management
  2. Billing and Invoices
  3. SuiteBilling
  4. SuiteBilling Overview
  5. Revenue Recognition for SuiteBilling

Revenue Recognition for SuiteBilling

SuiteBilling works with Advanced Revenue Management (Essentials) and Advanced Revenue Management (Revenue Allocation) when you enable all three features. After setup, each subscription line generates a revenue element. The revenue arrangement for the subscription includes all revenue elements from its subscription lines.

Subscription lines don't make revenue elements when the Advanced Revenue Management (ARM) in Configuration Mode feature is enabled. You must disable this feature before creating revenue arrangements for subscriptions. However, you can still set up advanced revenue recognition for SuiteBilling while ARM is in Configuration Mode. For more information, see Advanced Revenue Management in Configuration Mode.

Checking the Create Revenue Elements for Subscription Revisions box also triggers modification elements and revenue arrangements for subscription revisions. For more information, see Setting the Optional Accounting Preference for Advanced Revenue Management.

You can use the Create Revenue Element for Subscription Revision preference with the commit plus overage feature. For instructions on using commit plus overage, see Commit Plus Overage Charges.

Note:

When you check the Create Revenue Elements for Subscription Revisions box, be sure to merge modification elements with the subscription revenue arrangements for accurate accounting. For information, see Combination and Modification of Performance Obligations.

All ARM processes, Essentials and Revenue Allocation, are available for SuiteBilling. For information about Advanced Revenue Management, see Advanced Revenue Management (Essentials) and (Revenue Allocation).

The following topics have detailed information about setting up advanced revenue recognition for SuiteBilling.

After you configure ARM for SuiteBilling, complete the additional month-end recognize revenue steps. Here are the basic month-end revenue recognition processes:

  1. Create revenue recognition journal entries. You can schedule this process. For details, see Revenue Recognition Journal Entries.

  2. Reclassify deferred revenue. You can also schedule the reclassification process. For details, see Reclassification of Deferred Revenue.

  3. Recalculate revenue forecast plans. See Recalculating Revenue Forecast Plans.

  4. Run and save the Deferred Revenue Waterfall Report. See Run and Save the Deferred Revenue Waterfall Report and the linked topics for the individual reports.

Related Topics

General Notices