Revpro Flow 28246k

Revenue recognition is an earning process There are rules and regulations on how and when you can recognize revenue Under GAAP, there are four basic criteria:

oEvidence of an arrangement exists (governing contract & PO) oDelivery has occurred (transfer title and risk of loss) oFee is fixed or determinable (normal payment ) oCollection is probable (customer has ability to pay) There are several events that drive revenue – delivery, acceptance, cash receipts, time bound – defined revenue contingencies, fair value analysis, auto ing rules, amortization methods. In Revenue Allocation modules we can –

fair values (VSOE, TPE, ESP) Identify arrangements and link transactions Allocate revenue and post carve-outs to A/R or G/L In the revenue Management module we can – Define release events to auto-release revenue from deferred Manage contingencies Revenue waterfall with real-time forecast I have also worked on the Revenue Intelligence piece for generating drill down reports for real time revenue analytics. The flows is – RevPro has standard adapters for sales orders, service contracts, invoices, credit memos, RMA orders – the adapters extract data to the revpro staging tables per defined schedule, then the RevPro Data Collection runs and data gets collected to the RevPro system – the RevPro modules perform the revenue calculation and output is ed back to oracle ebs. In Rev Pro – We have to first define the Fair Value – that can be done via Manual or you can create a batch from the Fair Value Template – The system collects historical data to derive fair value, then a compliance check is

performed, you can then review the fair value output, finalize the fair value and you can then firm the fair value for allocation. Once the fair value is allocated – the data extract process kicks in – and load the Rev Pro Staging tables – you create a batch from the arrangement templates – the preprocessor runs – data is collected – data is then grouped and then the post processor runs, if the transaction line is eligible for fair value then you assign the fair value to the transaction line and then the revenue allocation process kicks in – if the line is not eligible for Fair Value then you release the contingency which can be done manually or Automatic, then the ing schedule is built and then the Transfer ing process kicks off where the data is transferred to AR or GL module depending on the requirement