6.5.3 Accounting Record Creation Processes

ADvendio offers six types of Accounting Record Creation Processes

  1. Collection - collects revenue for invoiced Invoices for the relevant Accounting Period

  2. Distribution - distributes the cost/revenue for RON items based on delivery data

  3. Accrual Creation - creates Accrual Records for amounts delivered but not yet invoiced

    1. Where Enable Distribution for Accounting is set as true, Distribution Rules will be used as part of the Accrual process and Accruals will be created on the basis of delivery data

    2. Where Enable Distribution for Accounting is set as false, Collection Rules will be used as part of the Accrual process and Accruals will be created on the basis of linear distribution

  4. Accrual Reverse - reverse entry made to offset adjusting accrual entry made in previous Accounting Period

    1. Where Enable Distribution for Accounting is set as true, Distribution Rules will be used as part of the Accrual process

    2. Where Enable Distribution for Accounting is set as false, Collection Rules will be used as part of the Accrual process

  5. Deferral Creation - creates Deferral Records for amounts invoiced but not yet delivered

  6. Deferral Reverse - reverse entry made to offset adjusting deferral entry made in previous Accounting Period



Collection Accounting Records will be created for zero amount invoice items by default. This can be deactivated, read more about 7.6.8.2 Feature Settings for the Accounting Interface.

Expected Results

Below are examples of the expected results from all Accounting Record Creation processes. Note, this is an example of a basic invoiced Campaign, if cancellations or credit notes are concerned the debit/credit value of the Account Record may be reversed, depending on the transaction type of the Media Campaign.  

For Collection, the following Accounting Rules are used to make the following Account Records

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Account Transaction - Cost*

Collection

Collection - Cost (Credit)

Account Transaction - Revenue*

Collection

Collection - Revenue (Debit)

Collection - Cost

Collection

Collection Cost (Debit)

Collection - Revenue

Collection

Collection - Revenue (Credit)

* Account Transactions are optional to get additional postings in certain cases. 

For Distribution, the following Accounting Rules are used to make the following Account Records

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Collection - Cost

Distribution

Distribution - Cost (Credit)

Collection - Revenue

Distribution

Distribution Revenue (Debit)

Distribution - Revenue

Distribution

Distribution - Revenue (Credit)

Distribution - Cost

Distribution

Distribution - Cost (Debit)



For Accrual Creation, the following Accounting Rules are used to make the following Account Records

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Distribution - Cost

Accrual Creation

Accrual - Cost (Debit)

Distribution - Revenue

Accrual Creation

Accrual Revenue (Credit)

Collection - Revenue

Accrual Creation

Accrual - Revenue (Credit)

Accrual - Revenue

Accrual Creation

Accrual - Revenue (Debit)



For Accrual Reverse, the following Accounting Rules are used to make the following Accounting Records

Accounting Rule

Process

Accounting Record Type (Debit/Credit) 

Accounting Rule

Process

Accounting Record Type (Debit/Credit) 

Accrual - Revenue

Accrual Reverse 

Accrual - Revenue - Reverse (Credit)

Distribution - Revenue

Accrual Reverse 

Accrual - Revenue - Reverse (Debit)

Collection - Revenue

Accrual Reverse

Accrual - Revenue - Reverse (Debit)

Accrual - Cost

Accrual Reverse

Accrual - Cost - Reverse (Debit)

Distribution - Cost

Accrual Reverse

Accrual - Cost - Reverse (Credit)

Collection - Cost

Accrual Reverse

Accrual - Cost - Reverse (Credit)



For Deferral Creation, the following Accounting Rules are used to make the following Accounting Records

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Collection - Revenue

Deferral Creation

Deferral - Revenue (Debit)

Deferral - Revenue

Deferral Creation

Deferral - Revenue (Credit)

Collection - Cost

Deferral Creation

Deferral - Cost (Credit)

Deferral - Cost

Deferral Creation 

Deferral - Cost (Debit)



For Deferral Reverse, the following Accounting Rules are used to make the following Accounting Records

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Accounting Rule

Process

Accounting Record Type (Debit/Credit)

Deferral - Revenue

Deferral Reverse

Deferral - Revenue - Reverse (Debit)

Collection - Revenue

Deferral Reverse

Deferral - Revenue - Reverse (Credit)

Deferral - Cost

Deferral Reverse

Deferral - Cost - Reverse (Credit)

Collection - Cost

Deferral Reverse

Deferral - Cost - Reverse (Debit)