Cash Revenues

Cash Revenues genearlly include all cash deposits received in the normal course of business operations such as customer invoice payments, interest income, and customer deposits. Cash receipts related to transfers and equity financing are excluded from Cash Revenues.

Cash Revenues Calculation

The calculation of cash revenues in Rillet begins with all journal entry lines where the following two criteria are met:

• The Debit Line of the JE includes an account where the Subtype = Bank or Credit Card

• The Credit Line of the JE includes an account where the Subtype is Accounts Receivable, Other Current Asset, Other Assets, Revenue, Non Operating Income or Customer Deposits

Once the relevant journal entries have been determined the amount of the cash revenue is determined as follows:

• If the Bank JE Line Amount < Revenue Amount, then the Cash Revenue Impact = Bank Transaction Amount

• If the Revenue Amount ≤ Bank Transaction, then the Cash Revenue Impact = Revenue

This distinction is particularly important in the case where there is a Match & Adjust used for a customer payment or when there is an realized gain/loss for FX impact.

Cash Revenues Examples

Example 1: Customer Invoice Payment

Lets assume you send an invoice to your customer on Jan 01 2024 for $5,000. You receive the payment from your customer into your bank account on Mar 31 2024. On March 31 2024, the following JE is recorded:

DR: Cash $5,000

CR: Accounts Receivable $5,000

In this case, the Cash Revenues impact on March 31 2024, would be $5,000.

Example 2: Customer Invoice Payment with Bank Fees

Lets assume you send an invoice to your customer on Jan 01 2024 for $5,000. You receive the payment from your customer into your bank account on Mar 31 2024, but the bank deducted a $20 wire fee. On March 31 2024, the following JE is recorded:

DR: Cash $4,980

DR: Bank Fees $20

CR: Accounts Receivable $5,000

In this case, the Cash Revenues impact on March 31 2024, would be $4,980 because the bank (cash) line is less than the impact to Accounts Receivable.

Example 3: Customer Invoice Payment with Realized Gain

Lets assume you send an invoice to your customer on Jan 01 2024 for $4,800 euros, which is equal to $5000 USD on the invoice date. You receive the payment from your customer into your bank account on Mar 31 2024. The amount you receive is $5,100 due to exchange rate gains. On March 31 2024, the following JE is recorded:

DR: Cash $5,100

DR: Realized Gain/Loss $100

CR: Accounts Receivable $5,000

In this case, the Cash Revenues impact on March 31 2024, would be $5,000 because the bank (cash) line is greater than the impact to Accounts Receivable.

Example 4: Customer Deposit

Lets assume you your customer sends you an advance deposit on their usage credits on March 31 2024 for $5,000. On March 31 2024, the following JE is recorded:

DR: Cash $5,000

CR: Customer Deposits $5,000

In this case, the Cash Revenues impact on March 31 2024, would be $5,000.