SM Agreement Amortization Schedule Form
Use the SM Agreement Amortization Schedule form to set up amortization schedules for revenue recognition on agreements.
Access this form by double-clicking in the Amortization Schedule grid of SM Agreements for any agreement with the Revenue Recognition drop-down set to S-Amortize.
You will only use this form if you need to recognize the revenue for payments received against an agreement equally over a specified period (e.g. the agreement term).
Once you begin billing the agreement and receiving payments, you use the SM Revenue Recognition form to recognize revenue based on the defined schedule. The system determines the actual amount to recognize based on the amount that is available to recognize (that is, the billed amount) and the date/month in which you run the amortization process.
For example, if you have a monthly amortization schedule and you skip the amortization process for one or more months, the system amortizes unrecognized amounts for all months prior to and including the specified date/month.
If you modify the remaining amount to bill for an agreement that is flagged for revenue amortization, you must update the amortization schedule to accommodate the change. When you renew the agreement, the system automatically adjusts the amortization schedule based on the full agreement price.
See the following related task: