Summarized Revenue Recognition Journal Entries
In Advanced Revenue Management (Essentials), you can post revenue recognition journal entries, including reclassification journal entries, in either detailed form or as a summary. The accounting preference Create Revenue Recognition Journals in GL determines which type of journal entry is created. For information about the reclassification journal entries, see Summarized Reclassification Journal Entries.
When you select the Detail option, one detailed journal entry is created for all plans selected on the Create Revenue Recognition Journal Entries page. The journal entry includes separate lines for each plan, and each line posts separately in the general ledger.
When you select the Summary option, journal entries are summarized when they are created based on the following attributes:
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Posting Period
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Subsidiary – for OneWorld accounts
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Accounting Book – when the Multi-Book Accounting feature is enabled. For more information, see Multi-Book Accounting Overview.
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Account
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Eliminate – when the Automated Intercompany Management feature is enabled. For more information, see Automated Intercompany Management
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Class
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Department
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Location
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Custom Segment – when the Custom Segments feature is enabled. For more information about Class, Department, Location, and Custom Segment, see Classifications Overview.
A Details column is added to the summarized journal entry. This column displays a link with the number of rows included in the line. When you click the link in the Details column of a summary journal entry, a popup window opens with the details. The details window includes links to the plan and source records.
For example, you choose to create journal entries for a batch of 19 revenue recognition plans. All of the attributes that affect summarization are the same for each plan in the batch. In this case, NetSuite creates one summary journal entry with two lines, one debit and one credit.
In another example, you select a batch of 50 plans that have matching attributes except for two different target accounts. Again, NetSuite creates one summary journal entry, but this entry has three lines, one for the debit and one each for the two credit accounts.
Intercompany customers are summarized separately from other customers. However, if an intercompany customer has multiple revenue plans, those plans are also summarized.
You can create a saved search to facilitate the review of details for journal entries with large numbers of rows. For guidance, see Saved Search for Revenue Recognition Journal Details.
Using the Summary option for revenue recognition journal entries has no effect on reporting. In reports that enable you to click through to the journal entry, you click through to the summary journal entry. From there, you can see the details as described earlier.