Accounting Distribution Defaults

To set up default accounting distributions for your products, you:

  1. Define distribution rules.

  2. Define distribution sets.

  3. Associate a default distribution rule with your PeopleSoft Contracts business unit.

Distribution Rules

Distribution rules identify the hierarchy that the system uses to identify which distribution set to use for a particular product. You can define any number of combination criteria and hierarchy to tell your system how to identify and apply the accounting distributions. For example, you might set up your distribution rules to satisfy one of these scenarios:

  • Specific revenue account distributions for your largest customer.

  • Specific revenue account distributions for a particular product.

  • Specific revenue account distributions for a product group such as Software.

In the previous examples, you build one distribution rule by determining which scenario is the most important and then arranging the three scenarios in order of priority by using the sequence numbered rows on the Distribution Rules page. The distribution rule that you define is then associated with a PeopleSoft Contracts business unit. When you select a product onto a contract, the system examines the distribution rule for that PeopleSoft Contracts business unit to determine which distribution set to use for populating the revenue distribution code values onto the Accounting Distribution page for each contract line.

Distribution Sets

A distribution set is made up of distribution codes. Each code in a distribution set can have a distribution percentage. You can define multiple distribution sets. Then, you associate the set with a product, product group, customer, and so forth.

Note: Note. If you use region codes, do not use the region code on the contract header, but instead specify the region code at the customer level.

Default Distribution Association

When defining a PeopleSoft Contracts business unit, you must identify a default distribution rule code to the business unit. This distribution rule code is the link between the PeopleSoft Contracts business unit and the distribution rules and distribution sets. When you select a product onto a contract, the system examines the distribution rule for that PeopleSoft Contracts business unit to determine which distribution set to use for populating the revenue distribution code values onto the accounting distribution page for each contract line.