Using the revenue recognition

To use this module, you must:
- Set up the access (see Setting up the company and the status).
- Check that all invoices are validated at the closing date (otherwise, you will not be able to create an entry).
- Enable the following DMFs:
- DMF 070711 ACCOUNTING SETUP REVENUE RECOGNITION
- DMF 070816 ACCOUNTING PERIODIC WORKS REVENUE RECOGNITION
- DMF 070817 ACCOUNTING PERIODIC WORKS REVENUE RECOGNITION - INPUT
- DMF 070818 ACCOUNTING PERIODIC WORKS REVENUE RECOGNITION - VALIDATE
- DMF 070820 ACCOUNTING PERIODIC WORKS COST RECOGNITION - HISTORY
- DMF 070821 ACCOUNTING PERIODIC WORKS COST RECOGNITION - ENTRY
- Set up the sub-families of sold products.
- Set up the sold products.
It is possible to define a revenue recognition rule from the sub-family of a sold product. When you create a sold product, the setup of the revenue recognition rule will be automatically retrieved from its sub-family. If you modify the Revenue recognition field, Akuiteo suggests you update the revenue recognition rule of all the sold products associated with that sub-family.
The revenue recognition module only takes into account the sold products with the same revenue recognition rule specified in the parameters and in the product. Therefore, you must run the revenue recognition process as often as there are revenue recognition types configured for each closing. For example, if you use 2 revenue recognition methods (completion and actual progress), you will have to run the revenue recognition module twice: the first time for the actual progress, and the second time for the completion.

1 | Go to Accounting > Periodic works > Revenue recognition. |
2 | Enter the following information: |
- Revenue recognition method: the list of revenue recognition methods.
- Closing date: by default, it is the last day of the previous month. If this is the last day of the month, the current date will be suggested.
- Period from...to: it is empty by default and enables you to set the period to take into account.
- Date of previous close: by default, it is the last day of the month preceding the previous month; if this is the last day of the month, the current date will be suggested.
- Presentation 'Overview': enables you to display items per grouping (a line per project / phase / sub-phase / lines).
- Presentation 'Details': a line per object line.
- Rule to choose 'on the product': based on the revenue recognition method indicated on the sold product record sheet.
- Rule to choose 'on the line': based on the revenue recognition method of the sub-family stored in the object lines to determine the rule to take into account. During an accounting period, the sub-family of a product can change so the revenue calculation rule changes as well.

1 | Go to Accounting > Accounting setup > Revenue recognition, then click on |
2 | Enter a code and name for the setup. |
3 | Select Completion in the Type field. |
4 | Select the grouping level (Project, Phase, Sub-phase). |
5 | Under the Level of detail section, select the relevant option: |
- Account: grouped by account
- Account - Product sold: grouped by account + sold product
- Account - Product sold - Customer: grouped by account + sold product + customer
6 | Check the boxes linked to the revenue calculation: |
Revenue calculated based on deliveries only | If the box is checked:
Invoices to be issued = If (Recognized revenue ≥ Billed) then Recognized revenue - Billed otherwise 0 Deferred revenue = If (Recognized revenue < Billed) then Billed - Recognized revenue otherwise 0 Recognized revenue = Non-billed deliveries ≤ closing date If the box is not checked: Invoices to be issued = Non-billed deliveries ≤ closing date + Non-billed lines of validated billing tables ≤ closing date Deferred revenue = Billed > closing date Recognized revenue = Billed + Invoices to be issued - Deferred revenue |
Budget calculated with updated sales forecast |
Validated orders are taken into account to calculate the budget. Budget = validated but not delivered orders with no billing table ≤ closing date + non-billed deliveries ≤ closing date + non-billed lines of validated billing tables ≤ closing date + Invoices ≤ closing date |
Budget calculated with the signed quotations | Budget = Initial budget = Signed quotations. |
Resulting revenue recognition:
Column | Description |
---|---|
Initial budget | Signed quotations ≤ closing date |
Billed | Invoices ≤ closing date |
Amount to be billed | Validated but not delivered orders with no billing table ≤ closing date + non-billed deliveries ≤ closing date + non-billed lines of validated billing tables ≤ closing date |
Billing % | Billed / Budget |
Free maintenance % | Free maintenance defined on the lines |
Revenue to recognize | Budget - recognized revenue |
Revenue M-1 | Logged revenue retrieved based on the logging date defined in the start screen |
Monthly production | Recognized revenue - revenue (M-1) |

The revenue is calculated by applying a percentage of progress on the ordered amount.
The ordered amount is calculated by adding non-delivered orders, non-billed deliveries and sales invoices.
The progress percentage is calculated by comparing the timesheets and the number of sold days matching the quantities in the order lines.
1 | Go to Accounting > Accounting setup > Revenue recognition, then click on |
2 | Enter a code and name for the setup. |
3 | Select Theoretical progress in the Type field. |
4 | Select the grouping level: Project, Phase, Sub-phase. |
5 | Under the Level of detail section, select the relevant option: |
- Account: grouped by account
- Account - Product sold: grouped by account + sold product
- Account - Product sold - Customer: grouped by account + sold product + customer
6 | In the Time status code section, select the options related to the timesheet entries. |
7 | Check the boxes linked to the revenue calculation: |
Budget calculated with updated sales forecast |
Validated orders are taken into account to calculate the budget. Validated but not delivered orders with no billing table ≤ closing date + non-billed deliveries ≤ closing date + non-billed lines of validated billing tables ≤ closing date + Invoices ≤ closing date. |
Budget calculated with the signed quotations | Budget = Initial budget = Signed quotations. |
Resulting revenue recognition:
Column | Description |
---|---|
Initial budget | None |
Timesheets | Timesheets in days based on the time status code ≤ closing date |
Billed | Invoices ≤ closing date |
Amount to be billed | Budget - Billed |
Actual remaining tasks | Schedule in days ≤ closing date |
Invoices to be issued | Recognized revenue - Billed |
Deferred revenue | Billed - Recognized revenue |
Recognized revenue | Budget x forced progress |
Revenue to recognize | Budget - recognized revenue |
Revenue M-1 | Logged revenue based on the previous closing date defined in the starting screen |
Monthly production | If theoretical remaining tasks = 0 then budget - Revenue M-1. Otherwise (budget / updated forecast) * days done. |
Sold days | Budget (in days) |
Days done | Timesheets |
Theoretical remaining tasks | Sold days - Days done |
Difference | Theoretical remaining tasks - Actual remaining tasks |
Updated forecast | Days done + Actual remaining tasks |
Calculated progress % | Days done / Updated forecast |
Theoretical progress % | Days done / Sold days |
Forced progress % | Default theoretical remaining tasks (manual entry possible if DMF) |

The revenue is calculated by applying a percentage of progress on the ordered amount. This progress percentage can be forced.
1 | Go to Accounting > Accounting setup > Revenue recognition, then click on |
2 | Enter a code and name for the setup. |
3 | Select Actual progress in the Type field. |
4 | Select the grouping level (Project, Phase, Sub-phase). |
5 | Check the Calculation of expenses with valuated time and purchases box to include purchases in the calculation. See the table below. |
6 | Under the Level of detail section, select the relevant option: |
- Account: grouped by account
- Account - Product sold: grouped by account + sold product
- Account - Product sold - Customer: grouped by account + sold product + customer
7 | In the Time status code section, select the options related to the timesheet entries. |
8 | Check the boxes linked to the revenue calculation: |
Calculation of expenses with valuated time and purchases |
If the box is checked: Actual costs = Valuated timesheets ≤ closing date + purchase invoices ≤ closing date + non-billed receptions ≤ closing date Updated forecast = real cost + actual remaining tasks % calculated progress = actual costs / updated forecast The actual is calculated from the costs' logging table lines. If the box is not checked: Timesheets = Valuated timesheets ≤ closing date Updated forecast = Timesheets + actual remaining tasks % calculated progress = timesheets / updated forecast |
Budget calculated with updated sales forecast |
Validated orders are taken into account to calculate the budget. Budget = Validated but not delivered orders with no billing table ≤ closing date + non-billed deliveries ≤ closing date + non-billed lines of validated billing tables ≤ closing date + Invoices ≤ closing date |
Budget calculated with the signed quotations | Budget = Initial budget = Signed quotations. |
Actual calculated with actual expenses | The actual is calculated from management objects in the Purchases module. |
Actual calculated with logging of expense recognition |
If the Calculation of expenses with valuated time and purchases box is checked: The actual is calculated from the costs' logging table lines. |
Remaining tasks calculated from valuated schedules |
The remaining tasks are calculated from the valuated schedule > closing date. Actual remaining tasks = Valuated timesheets > closing date + valuated schedule > closing date If the Calculation of expenses with valuated time and purchases box is checked: Actual remaining tasks = Valuated timesheets > closing date + valuated schedule > closing date + validated but not received purchase orders ≤ closing date If the Inclusion of validated quotes box is checked: Actual remaining tasks = Valuated timesheets > closing date + valuated schedule > closing date + validated but not received purchase orders ≤ closing date + validated quotes ≤ closing date |
Remaining tasks calculated from the remaining project tasks |
The remaining tasks are calculated from the project remaining tasks AND the valuation of the employee linked to this task Actual remaining tasks = Valuated timesheets > closing date + project's remaining tasks valuated with the employee associated with this task If the Calculation of expenses with valuated time and purchases box is checked: Actual remaining tasks = Valuated timesheets > closing date + project's remaining tasks valuated with the employee associated with this task + validated but not received purchase orders ≤ closing date If the Inclusion of validated quotes box is checked: Actual remaining tasks = Valuated timesheets > closing date + project remaining tasks valuated with the employee associated with this task + Validated but not received purchase orders ≤ closing date + Validated quotes ≤ closing date |
Inclusion of validated quotes | If checked, the validated quotes are taken into account when calculating the actual costs. |
Resulting revenue recognition:
Column | Description |
---|---|
Initial budget | Signed quotations ≤ closing date |
Forced progress % | Actual progress % (manual entry possible if DMF) |
Recognized revenue | Budget x forced progress |
Billed | Invoices ≤ closing date |
Invoices to be issued | If (Recognized revenue ≥ Billed) then Recognized revenue - Billed |
Deferred revenue | If (Recognized revenue < Billed) then Billed - Recognized revenue |
Revenue M-1 | Logged revenue retrieved based on the logging date defined in the start screen |

It is a revenue recognition method based on the period of management objects lines ('Period from' and 'to').
1 | Go to Accounting > Accounting setup > Revenue recognition, then click on |
2 | Enter a code and name for the setup. |
3 | Select Prorata in the Type field. |
4 | Select the grouping level (Project, Phase, Sub-phase). |
5 | Under the Level of detail section, select the relevant option: |
- Account: grouped by account
- Account - Product sold: grouped by account + sold product
- Account - Product sold - Customer: grouped by account + sold product + customer
6 | Check the boxes linked to the revenue calculation: |
Revenue calculated based on deliveries only |
If the box is checked: Suggested invoices to be issued = If (Recognized revenue >= Billed) then Recognized revenue - Billed Suggested deferred revenue = If (Recognized revenue < Billed) then Billed - Recognized revenue Recognized revenue = Non-billed deliveries ('Delivered on' date ≤ closing date) If the box is not checked: Suggested invoices to be issued = Non-billed deliveries ≤ closing date + non-billed lines of validated billing tables ≤ closing date Suggested deferred revenue = Invoice lines with the prorata of the period compared with the closing date Recognized revenue = Billes + selected invoices to be issued - selected deferred revenue |
Budget calculated with updated sales forecast |
Validated orders are taken into account to calculate the budget. Budget = validated but not delivered orders with no billing table ≤ closing date + non-billed deliveries ≤ closing date + non-billed lines of validated billing tables ≤ closing date + Invoices ≤ closing date |
Budget calculated with the signed quotations | Budget = Initial budget = Signed quotations. |
Resulting revenue recognition:
Column | Description |
---|---|
Initial budget | Signed quotations ≤ closing date |
Billed | Invoices ≤ closing date |
Selected invoices to be issued | Invoices to be issued suggested by default (manual entry possible if DMF) |
Selected deferred revenue | Selected deferred revenue by default (manual entry possible if DMF) |
Revenue M-1 | Logged revenue retrieved based on the logging date defined in the start screen |
Monthly production | Recognized revenue - revenue (M-1) |

When you validate entries, the details about the revenue recognition are stored in the logging table.
1 | Run the Revenue recognition module. |
2 | Correct the amount of invoices to be issued and deferred revenue calculated by directly modifying the relevant columns. |
3 | Validate and generate the invoices to be issued/deferred revenue entry by clicking on |
4 | If you want to import the history, go to Management > Imports. |
5 | To view the history, go to Management > Projects > arrow on the right of the search icon in the action bar > Revenue logging search. |
6 | To add or modify the history, select a line or right-click on the table to: |
- Add a parent line
- Copy the selected line
- Modify the selected line (you cannot modify a validated line or a line generated by the system)
- Delete the selected line
- Validate the selected lines