Accrue Service Revenue and Cost

This activity allows you to perform accrual processing for revenue and cost . Tell me more.

Select the “Accrue Service Revenue and Cost” link under the “Journal Voucher” business component.

The “Accrue Service Revenue and Cost” page appears.

Enter the following fields in the “Processing Details” group box:

Voucher No.

A unique number identifying the journal voucher (Alphanumeric, 18). Mandatory. This number will be automatically generated if the “Numbering Type” in the “Document Numbering Class” business component for Journal Voucher type is not set to “Manual”. Ensure that this is a valid voucher number defined in the “Finance Book Processing” business component. The voucher No. is generated on creation of voucher.

Numbering Type

Use the drop-down list box to select the numbering type for the login organization unit. The numbering types must have already been defined in the “Create Numbering Class” activity of the “Document Numbering Class” business component and must be in “Active” status as on the Transaction date. The system displays the numbering type set as default for the transaction in the “Document Numbering Class” business component. Ensure that a value is selected in this field.

Note: You cannot modify the numbering type for an existing voucher.

The voucher no. once generated for a Finance Book and Voucher Date combination, cannot be modified later.

If the “Numbering Type” is set to “Manual”, ensure that the voucher number is entered with no space in between.

The system displays the following in the “Processing Details” group box:

Status

The status of the voucher. A voucher can be accorded any of the following statuses:

Fresh – indicates that the voucher has been created and is yet to be confirmed.
Reversed – indicates that the voucher has been confirmed. On confirmation, the regular voucher will assume the status "Reversed" and the reversal voucher will assume the status "Authorized".

Voucher Date

The date on which the voucher is recorded in the books of accounts (Date Format). The last date of the financial period selected in the "Financial Period" drop-down list box will be displayed by default on launch of the page. To process accrual, ensure that the voucher date is within the open financial year/financial periods as defined in the “Financial Calendar Closure” business component.

Enter the following fields:

Finance Book

Use the drop-down list box to select the code identifying the finance book in which the voucher entries are to be posted. All the posting finance books mapped to the login organization unit will be available for selection in the ascending order if the “Allow Multiple Finance Book Postings” field is set to “Yes” in the “Set Function Defaults” page. Ensure that a value is selected in this field.

Note: The default finance book selected in the “Set Function Defaults” page will be displayed if the “Allow Multiple Finance Book Postings” field is set to “ No”.

Financial Year

Use the drop-down list box to select the financial year for which the accrual processing is to be done. The system lists all the financial years defined in the “Financial Calendar Closure” business component, in ascending order. By default the system displays the earliest financial year with the status “Open” as defined in the “Financial Calendar Closure” business component. Ensure that a value is selected in this field.

Note: To process and confirm accrual, ensure that the status of the financial year is “Open” as defined in the “Financial Calendar Closure” business component. If the status of the financial year is set to “Provisionally Closed”, accrual processing could be confirmed only if ”Allow financial postings after Provisional Closure” field is set to “Yes” in the “Set Parameters – Book Keeping” activity of the “Company Parameter Setup” business component.

Financial Period

Use the drop-down list box to select the financial period for which the accrual processing is to be done. The system lists all the financial periods defined in the Financial Calendar Closure” business component, for the financial year selected in the "Financial Year" drop-down list box, in ascending order. By default the system displays the earliest financial period with the status “Open” as defined in the “Financial Calendar Closure” business component. Ensure that a value is selected in this field.

Note: Ensure that the status of the financial period is “Open” as defined in the “Financial Calendar Closure” business component. If the status of the financial period is set to “Provisionally Closed”, accrual processing can be confirmed only if the ”Allow Financial Postings After Provisional Closure” field is set to “Yes” in the “Set Parameters – Book Keeping” activity of the “Company Parameter Setup” business component.

Click the “Get” pushbutton to retrieve the details of the voucher already create. The system will retrieve the details based on the values selected in the "Processing Details" cluster.
Enter the following fields in the “Reversal Information” group box:

Reversal Voucher No.

A unique number identifying the reversal voucher (Alphanumeric, 18). This number will be automatically generated if the “Numbering Type” in the “Document Numbering Class” business component is not set to “Manual”. This number is generated only if the processing is confirmed.

Reversal Numbering Type

The system displays the numbering type set as default for the transaction in the “Document Numbering Class” business component. Ensure that a value is selected this field.

Note: You cannot modify the reversal numbering type for an existing voucher.

If the “Reversal Numbering Type” is set to “Manual”, ensure that the reversal voucher number is entered with no space in between.

The system displays the following:

Status

The reversal voucher gets generated only when the processing is confirmed. Hence, on confirmation, the reversal vouchers assume the status ‘Authorized’.

Reversal Voucher Date

The date on which the voucher is to be reversed. The first date of the financial period next to the financial period defaulted in the “Financial Period” drop-down list box, will be displayed by default on launch of the page. This voucher being generated to account for revenue and cost accruals in the books provisionally for the period/year closure, the voucher gets automatically reversed on the next day

Enter the following fields:

Remarks

Any comments regarding the voucher (Alphanumeric, 100).

Click the “Process” pushbutton to retrieve all the customer orders for which accrual processing is to be done:

Note: The system retrieves only those events that are mapped to the selected posting finance book in the “Set Posting Finance Books” activity of the “Account Group” business component, for accrual processing.

The system displays the following in the “Accrual Information” group box:

Accrued Revenue	Indicates the total accrued revenue for material, resources and repair orders.
Accrued Cost	Indicates the total accrued cost for material and resources.

Note: The accrued revenue is calculated by adding all the values in the "Total Revenue in Base Currency" column in the “Accrual summary” multiline. The “Total Revenue in Base Currency” is equal to the sum of “Material Revenue (Tran)”, “Resource Revenue (Tran)” and “'Repair Revenue (Tran), multiplied by the exchange rate for each row in the multiline.

Note: The accrued cost is calculated by adding all the values in the column “Total Cost” in the multiline, where “Total Cost” is equal to the sum of the “Material Cost” and the Resource Cost” for each row in the multiline.

The system displays the following in the “Accrual Summary” multiline:

Ref. Doc Type	Indicates the reference document type against which processing is done.
Reference Doc #	Indicates the reference document number. The system displays the customer order on which cost/revenue accrual is processed.
Currency	Displays the currency in which the customer order is created.

Enter the following in the “Accrual Summary” multiline:

Material Revenue (Tran)	Accrual for revenue under the head ‘material’ is processed against all the open customer orders and the value is displayed in this column automatically, in customer order currency. (Integer, 28).
Resource Revenue (Tran)	Accrual for revenue under the head ‘resource’ is processed against all the open customer orders and the value is displayed in this column automatically, in customer order currency. (Integer, 28).
Repair Revenue (Tran)	Accrual for revenue under the head ‘repair orders’ is processed against all the open customer orders and the value is displayed in this column automatically, in customer order currency. (Integer, 28).

The system displays the following in the “Accrual Summary” multiline:

Total Revenue (Tran)	The total of the material revenue, resource revenue and repair revenue, in transaction currency. This refers to the customer order currency..
Exchange Rate	The exchange rate between the transaction currency and the base currency on the voucher date. If in the Set Function Default activity under the component "Account Rule Definition", the parameter on "Forward cover applicable" is set to "Yes" and the parameter on "Account for Hedge Gain/Loss’ is set to "Fixed Rate", then the "Forward Rate" if any, specified in the customer order will be displayed against the respective customer orders and the same will be used for currency conversion
Total Revenue In Base Currency	The total revenue in terms of base currency.

Enter the following in the “Accrual Summary” multiline:

Material Cost	The accrued cost of the material. (Integer, 28).
Resource Cost	The accrued cost of the resource. (Integer, 28).

The system displays the following in the “Accrual Summary” multiline:

Total Cost

The total cost of the material cost and the resource cost.

Note: Ensure that at least one record exists in the multiline.

Enter the following in the “Export Criteria” Group box:

Customer Group

Use the drop-down list box to select the customer group for which the accrual processing details need to be viewed in an Excel sheet. The system lists all the customer account groups mapped to the login organization unit and defined in the “Account Group” business component. The system leaves this field blank by default.

Report Format

Use the drop-down list box to select the format of the report in which the accrual details are to be displayed in the Excel sheet. The system lists the following options:

Task Level Summary – Revenue and cost accrual details against material, resource and repair orders will be exported to Excel at task level against each customer order, for the selected customer group.
Resource Details – Details relating to resource revenue and resource cost will be exported to Excel at task level against each customer order, for the selected customer group.
Material Details – Details relating to material revenue and material cost will be exported to Excel at task level against each customer order, for the selected customer group.
Repair Order Details – Details relating to revenue on account of repair orders will be exported to Excel against each customer order, for the selected customer group.

The system displays the value "Task Level Summary" by default..

Click the “Create” pushbutton to create the voucher. The voucher will be generated in fresh status.

Note : After accrual processing is done for a Finance Book, Financial Year and Financial Period combination and before the voucher is created, if any one of the said values is changed, then processing needs to be done afresh, before creating, editing or confirming the voucher.

Click the “Edit” pushbutton to edit the voucher. The voucher can be modified only if it is in"Fresh" status.

Click the “Confirm” pushbutton to confirm the voucher. The voucher status will be updated as "Reversed" and a reversal voucher will be generated in "Authorized" status.

Click the “Export To Excel” pushbutton to export the voucher details to Microsoft Excel. Details will be exported to Excel as per the details given against the "Report Format".

Select the “Accounting Information” link at the bottom of the page to view the details of the transactions that have been posted to the account of the corresponding finance book of the company.

The system displays the following fields:

Run By	The login ID of the user who had run the accrual report.
Run Date	The date on which the accrual report was run.

Accruing Service Revenue and Cost – An overview

This page allows you to accrue the service revenue and cost. The system generates the unique voucher number for the journal voucher. You can also select the finance book in which the voucher is to be posted. The voucher date is displayed based on the finance book, financial year and financial period.

You can also create, edit , confirm and view the voucher in this page. The voucher details and the accrual information can be exported to Microsoft Excel..