Viewing GL Impact: Understanding the Financial Implications of Usage Cycles
After setting up your contracts, you can review the General Ledger (GL) impact of these contracts.
To View GL Impact:
Click the three-dot (...) menu next to the contract name.
Select GL impact from the dropdown menu.
Differences in GL Impact between Usage Cycle Monthly and Usage Cycle Contract
GL Impact: Usage Cycle Monthly
The accounting for a monthly usage cycle displays revenues on a month-by-month basis and reflects the associated monthly expenses. Any usage that exceeds the monthly minimum is recorded as additional revenue.
GL Impact: Usage Cycle Contract
For a usage cycle based on the contract, revenues are recognized either all at once if consumed at the beginning or distributed based on resource utilization. This may result in variations between accounting periods.
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