Deferred revenue clearing with sales billing

[Former Member]

Dear All,

I have a business scenario in which we claim advance amount from the customer and keep this amount in deferred revenue account.And we do sales billing on monthly basis to recognize revenue so at the time of billing we claim only that amount corresponding to service we have provided.So the business requirement is while doing billing the differed revenue account also must be cleared.Pls suggest how can i set up this.

Thanks in advance.

Regards

[Former Member · Accepted solution]

Hi Chandan,

Based on your explanation of the process, I believe the best suite of standard SAP is Down Payment Processing wherein we generate invoice for down payment which sits in special GL account and on monthly billing, we bill the customer for the service and adjust the balance payable against the adance already paid.

PLease refer to http://help.sap.com/erp2005_ehp_06/helpdata/en/4a/ac853478616434e10000009b38f83b/frameset.htm

Regards,

Naveen Aggarwal

[Former Member · Accepted solution]

Hi Naveen

Thanks for the reply.Th problem has been ressolved.

Regards