Revenue Reconciliation Data Sources and Calculation
View this special topic to learn how revenue data is sourced and calculated when you run the Revenue Reconciliation Inquiry screen.
When reconciling revenue between the General Ledger and the Project Ledger, it is important to understand how each total is sourced and calculated. This information helps you determine where to investigate when differences occur between the two totals.
General Ledger Total
The GL Total is calculated by summing all posted transaction amounts from the GL posting summary for the selected company, fiscal year, period, and filter criteria. Two key filters are applied automatically:
- Only accounts that are mapped to the F/S Code you entered are included.
- Within the selected financial statement, only accounts assigned to lines flagged as
Revenue lines are included.
Accounts on non-revenue lines, such as expense or balance sheet lines, are excluded even if they have GL activity.
This indicates that the GL Total is not simply the sum of all GL postings for your selected accounts. It is the sum of postings that pass through your revenue financial statement configuration.
If an account is missing from your financial statement setup, or if it is on a line that is not flagged as a Revenue line, it will not be included in the GL Total even if there are posted transactions for it. Conversely, if an account is mapped to multiple revenue lines on the same financial statement, its GL amount will be counted multiple times.
See the Review Revenue Discrepancies topic for details on analyzing variances.
Project Ledger Total
The Project Ledger Total is sourced from the project revenue summary records in Costpoint. These records are maintained separately from the GL and represent revenue as recognized through the project billing and revenue recognition process. The specific figures used depend on your selections:
| Period Option | Rate Type | Source Figures Used |
|---|---|---|
| PTD | Actual | Period-to-date revenue + period-to-date award amount (Actual rates) |
| PTD | Target | Period-to-date revenue + period-to-date award amount (Target rates) |
| YTD | Actual | Year-to-date revenue + year-to-date award amount (Actual rates) |
| YTD | Target | Year-to-date revenue + year-to-date award amount (Target rates) |
| ITD | Actual | Inception-to-date revenue + inception-to-date award amount (Actual rates) |
| ITD | Target | Inception-to-date revenue + inception-to-date award amount (Target rates) |
Variance
The Variance represents the difference between the GL Total and the Project Ledger Total and is calculated as the GL Total minus the Project Ledger Total. A positive variance indicates that the General Ledger shows more revenue than the Project Ledger. A negative variance indicates that the Project Ledger shows more revenue than the General Ledger. Both situations require review.