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Milestone and Revenue Allocation
In order to use the Milestone with revenue allocation functionality "Milestone with Revenue Allocation" option needs to be enabled on the parameter window.
Review the following example to better understand how the Milestone with Revenue Allocation functionality works.
EXAMPLE 1
Using Milestone items wiht end date specified along with standard items.
Billing schedule lines
| Item number | Item type | Start date | End date | Frequency | Quantity | Unit price | Net Amount |
| Milestone 1 | Services | 01/01/2022 | 12/31/2022 | One-time | 1 | 5000 | 5000 |
| Milestone 2 | Services | 02/15/2022 | 12/31/2022 | One-time | 1 | 6500 | 6500 |
| Milestone 3 | Product | 04/01/2022 | 12/31/2022 | One-time | 1 | 7000 | 7000 |
| Item 1 | Product | 01/01/2022 | 12/31/2022 | Monthly | 1 | 50 | 50 |
| Item 2 | Product | 01/01/2022 | 12/31/2022 | Monthly | 1 | 100 | 100 |
| Item 3 | Services | 01/01/2022 | 12/31/2022 | Monthly | 1 | 75 | 75 |
Revenue Allocation
Header
MEA type = Single
MEA number = MEA1
Deferred contract revenue account = 110120 (can be any account)
Lines
| Item number | Frequency | Contract value | MEA number | SSP Origin | Standalone selling price | Contract SSP | Remaining contract revenue | Total contract revenue |
| Milestone 1 | One-time | 5000 | MEA1 | Amount | 5200 | 5200 | 5017.75 | 5017.75 |
| Milestone 2 | One-time | 6500 | MEA1 | Amount | 7050 | 7050 | 6802.91 | 6802.91 |
| Milestone 3 | One-time | 7500 | MEA1 | Amount | 6900 | 6900 | 6658.17 | 6658.17 |
| Item 1 | Monthly | 600 | MEA1 | Amount | 55 | 660 | 636.87 | 636.84 |
| Item 2 | Monthly | 1200 | MEA1 | Amount | 105 | 1260 | 1215.84 | 1215.84 |
| Item 3 | Monthly | 900 | MEA1 | Amount | 75 | 900 | 868.46 | 868.44 |
EXAMPLE 2
Using Milestone allocation template item with Billing end dates empty because it is not mandatory to have the dates entered to calculate the revenue allocation.
Billing schedule lines
| Item number | Item type | Start date | End date | Frequency | Quantity | Unit price | Net Amount |
| Milestone Parent | Services | 01/01/2022 | One-time | 1 | 0 | 1900 | |
| Milestone child 1 | Services | 01/01/2022 | One-time | 1 | 950 | 950 | |
| Milestone child 2 | Product | 01/01/2022 | One-time | 1 | 950 | 950 |
Revenue Allocation
Header
MEA type = Single
MEA number = MEA1
Deferred contract revenue account = 110120 (can be any account)
Lines
| Item number | Frequency | Contract value | MEA number | SSP Origin | Standalone selling price | Contract SSP | Remaining contract revenue | Total contract revenue |
| Milestone Parent | One-time | 0 | MEA1 | None | 0 | 0 | 0 | 0 |
| Milestone child 1 | One-time | 950 | MEA1 | Amount | 1000 | 1000 | 863.64 | 863.64 |
| Milestone child 2 | One-time | 950 | MEA1 | Amount | 1200 | 1200 | 1036.36 | 1036.36 |
Note: .For Milestone allocation template items a warning message will pop-up and the update will not continue when MEA number of a line is changed to something different than the other lines.
When new schedule line is added to at least one Milestone item schedule the MEA Type is automatically changed to Multiple MEA type. Different sets of Milestone items can have the same MEA number.
