Revenue Recognition

[Former Member]

I am in the process of learning RR and I have a few doubts:

1 Do I need to create a WBS element for time/ service based billing.

2 I created a service contract with the following settings in item category ZXVN:

Revenue recognition - A

Delimit start date - A

I created a contract with start date as 01.01.2008 and end date as 30.06.2008.

I got the following outputs:

1 Created a contract

2 VF01

3 VF44

At the time of VF01

The following entries were generated:

Receivables Dr: 100

Deferred Revenue Cr 100

For each period

(I dont know whether this is correct. But my requirement is

Receivable Dr 600

Deferred Revenue Cr 600)

and then

when I ran VF44

Revenue Cr 100

Deferred Revenue Dr 100

I

is there any config setting do I need to make so that I get the above entries.

Appreciate your reply

[Former Member]

Hi,

I believe this question is also linked to your other question. Let me know if this is different and not yet answered and i will try to answer this.

Thanks

Kapil Sharma