Understanding Revenue Performance Obligation AAIs

During the life cycle of a project, various costs are incurred and there are rules that specify how the accounts are determined to record these costs. One rule is when working with revenue performance obligations (RPOs), you must set up RPO AAIs. RPO AAIs are similar to the AAIs that are set up at the job level, but the system uses RPO AAIs specifically when you run the Profit Recognition Build (R51800) at RPO level.

Use the Revenue Performance Obligation AAI Criteria program (P5104) to define RPO AAIs based on a match level and match value combination. During profit recognition at the RPO level, the system uses the AAI item number, match level, and match value to find the correct account to debit or credit.

When you set up cost and revenue AAI items, you have the option to specify a range of accounts. You can have more than one set of ranges per cost or revenue RPO AAI item, which means that you can have multiple rules (cost code/cost type ranges) with the same combination of values in the Match Level, Category Code, Match Value, and Effective Date fields.

For income statement and balance sheet AAI items, there can be only one rule (cost code/cost type ranges) for the same combination of values in the Match Level, Category Code, Match Value, Effective Date fields.

For AAI items other than cost account, revenue account, IS and BS, you can only define one rule for the same combination of values in the Match Level, Category Code, Match Value, and Effective Date fields.

When you add accounts to an RPO, there should not be any overlapping AAI definitions (date ranges) for same job, project, and RPO.

See Associating Accounts with a Revenue Performance Obligation.

The system stores the RPO AAIs in the Revenue Performance Obligation AAI Criteria table (F5104).

To review how the system uses RPO AAI setup and the RPO record to select accounts, review the following example:

Example: Revenue Performance Obligation and RPO AAI Setup: Review Resulting Accounts