High level process flow – Revenue Recognition

Review Daily Order View Validate if Evidence of

Sales order that need revenue Validate Contract
Start Report Yes Agreement Exists
recognition? Assessment and RDS
(ZCUS_DAILY_REV_REP (VA03) Yes
ECC eFinance No ECC

No
Execute Billing - Validate if Evidence of Yes
No
Batch Job (VF01) Delivery Exists
Remove Acceptance Date ECC (VA03)
(VA02) ECC

ECC

Execute Revenue Validate if Price is

Revenue Recognized
Accounting – determinable
Execute Cancel Revenue incorrectly? No Yes
Yes Batch Job (VF44) (VA03)
Recognition Program ECC
ECC
(VF46)
ECC No

Change Billing Block drop- Validate Collectability Yes

Canceling Revenue: Run Revenue Recognition down to blank and Update Assurance
Report (VF45) Acceptance Date (VA02)
No
Unbilled & Rev not Rec. (VA03)
Dr: Revenue ECC ECC ECC
Cr: Unbilled AR

Billed & Deferred Rev

Dr: Revenue
Cr: Deferred Revenue End
Recognize revenue first, then bill Bill first, then recognize revenue

1. Recognizing without Billing 1. Billed without Recognizing

Cr: Revenue Cr: Deferred Revenue
Dr: Unbilled AR Dr: Customer AR

2. Billing a Recognized Revenue 2. Recognizing Billed Revenue

Cr: Unbilled AR Cr: Revenue
Dr: Customer AR Dr: Deferred Revenue

CUS FIN ITT-SAP Legacy Accounting Entries