1. Fusion Applications Project Billing Offsets Model
Perry L. Unrau CGA
Senior Principal Product Manager
August 2010

2. Agenda Feature Overview Examples Product Demonstration Q&A
Additional Information
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

3. Feature Overview Automatically reclassify billing offsets
Calculates reclassification of billing offset balances by contract line and invoice currency
Creates project accounting transactions
Manually override the reclassification of billing offsets
Override amount and description
Deselect the reversal checkbox when contract line is ready to close
Automatically reclassify billing offsets:
Calculates reclassification of billing offset balances by contract line and invoice currency as:
((The lesser of ITD revenue and ITD invoice) – PTD reclassification amounts).
Creates accounting transaction:
Accounting Type is set to billing offset reclassification.
Reclassification amount is set to calculated value above.
Creates reversal accounting transaction:
Accounting Type is set to billing offset reclassification reversal.
Reclassification amount is set to reclassification amount from billing offset reclassification accounting transaction multiplied by -1.
Create Accounting Event is called if the transfer revenue to general ledger option on the customer contract management business function is Yes. It creates SLA accounting events.
Manually override the reclassification of billing offsets:
Manually override the calculated reclassification amount for unbilled receivables and deferred revenue.
View the ITD Recognized Revenue and ITD Invoiced Amount by contract line to determine if the contract line is ready to close.
Manually override the Reverse this accounting transaction in the next period checkbox if contract line is ready to be closed.
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

4. Examples Fixed Price Invoice & Revenue Accounting
Reclassifying billing offsets nets UBR and DFR
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

5. Examples Rate Based Invoice & Revenue Accounting
Reclassifying billing offsets nets UBR and DFR.
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

6. Demo: Manage Billing Offset Balances Confirm Contract Line is Ready to Close
Confirm that the amount of recognized revenue equals the invoice amount
Confirm Contract Line is Ready to Close
The reclassification of billing offset balances nets ITD unbilled receivables with ITD deferred revenue by contract line.
Select the Manage Billing Offset Balances task.
For contract lines that are ready to close, confirm ITD recognized revenue equals ITD invoice amount.
Select a contract line to create an accounting transaction.
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

7. Demo: Manage Billing Offset Balances Create Accounting Transaction
Deselect reversing accrual if line is ready to close or
Override accounting amount if necessary
Create Accounting Transaction
For contract lines that are ready to close:
Do not reverse the accrual.
Navigate to the contract work area and close the contract line.
For contract lines using a different reclassification model:
Override the accounting transaction amount in invoice currency to the desired value.
Optionally override the description.
Additional Resources
See the Oracle Fusion Close Customer Contract TOI for more information about the Close Customer Contract activity
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

8. Demo: Manage Billing Offset Balances Reclassify Billing Offset Balances
Select the desired business unit, accounting period and whether to generate a success report
Reclassify Billing Offset Balances
For contract lines that are not ready to close, the process:
Automatically creates an accounting transaction for the selected accounting period that nets ITD unbilled receivables with ITD deferred revenue for each contract line matching the process parameters.
Automatically creates a second, reversing accounting transaction for each contract line with:
An accounting date in the following accounting period.
An amount that is the first accounting transaction’s amount multiplied by -1.
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract

9. Demo: Manage Billing Offset Balances Manage Accounting Transactions
Review past reclassifications or reversals
View accounting transaction details
Manage Accounting Transactions
Review past billing offset reclassifications and reversals.
Select the Manage Accounting Transactions task.
Search for desired billing offset reclassification or billing offset reclassification reversal accounting transactions.
Review how the billing offset reclassification accounting transaction was calculated.
CONFIDENTIAL: All capabilities and dates are for planning purposes only and may not be used in any contract