REVENUE COMPUTATIONS - Special Topic PJ-12

This special topic describes how revenue is computed for the various revenue formulas.

Contract Value Less Backlog

The system calculates the Inception-to-Date (ITD) "revenue to recognize" by subtracting the backlog amount from the total contract value. This value becomes ITD revenue to recognize. You manually enter the backlog amount in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup). The system calculates ITD revenue by summarizing the revenue in the project ledger for the fiscal year up to and including the subperiod being calculated. This value becomes YTD revenue recognized previously. The system then summarizes revenue from the Prior Year table for fiscal years earlier than the selected fiscal year and adds this value to the YTD revenue previously recognized to arrive at ITD revenue previously recognized. The system subtracts this amount from the ITD revenue to recognize to arrive at revenue not yet recognized. This amount may be positive or negative. If ITD revenue exceeds the total project ceiling, the system posts the amount over the ceiling as an over-the-ceiling amount to the owning organization in the subperiod being calculated. This reduces revenue to the ceiling amount.

Contract Value Times % Complete Vs. Rate Schedule

The Contract Value times % Complete Vs. Rate Schedule formula (selected in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup)) compares two different formulas and uses the lower of the two. This formula uses either Contract Value Times Percent Complete or Rate Schedule times Multiplier plus Non-labor times Multiplier.

Costpoint determines the Contract Value Times Percent Complete by performing the following steps:

Determine ITD Revenue (to Recognize) by multiplying the Total Contract Value from the Modifications screen (Projects » Project Setup » Controls) by the Project Percent Complete (entered in this screen).
Determine YTD Revenue Previously Recognized by adding all revenue recognized in the project ledger so far this fiscal year.
Determine ITD Revenue Previously Recognized by adding all revenue recognized in previous years found in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) with the YTD Revenue Previously Recognized (Step #2).
Determine Current Period Revenue by subtracting ITD Revenue Previously Recognized (Step #3) from ITD Revenue to Recognize (Step #1). This figure (Current Period Revenue) can be either a positive or negative number.
Compute Contract Value.
Use the smaller of the contract value (Step #5) or the ITD Revenue (Step #1) as the Contract Value times Percent Complete figure.
Record amount over the contract value as amount over ceiling. Compare contract value (Step #5) to ITD Revenue (Step #1). If ITD Revenue (Step #1) is larger than contract value (Step #5), the difference is recorded as amount over ceiling. If contract value (Step #5) is larger than ITD Revenue (Step #1), no amount over ceiling is recorded and only the Current Period Revenue (Step #4) is added to previously recognized revenue (Steps #2 and 3).

Next, Costpoint determines the Rate Schedule figure. The Rate Schedule amount is identical to the Rate Schedule times Multiplier plus Non-Labor times Multiplier.

The Rate Schedule times Multiplier plus Non-labor times Multiplier formula (selected in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup)) is based on allowable hours (the lesser of actual or ceiling amounts) multiplied by rate per hour. The rate is derived during the Load Labor Rates process (Projects » Cost and Revenue Processing » Revenue Processing or Projects » Billing » Prepare Billings). The labor calculation consists of the following:

The system multiplies allowable labor hours (the lesser of actual or ceiling amounts) by the calculated billing rate (the Revenue Rate Amount from the LAB_HS table).
The system multiplies the lower of either a ceiling rate OR actual hourly rate by allowable labor hours. This amount is then marked up by the multiplier rates stored in the Basic Revenue Info screen.
The rate schedule is determined by the Revenue Rate Amount from the LAB_HS table. Rates are set up with a rate type of A (Actual rate), B (Billing rate), or C (Ceiling rate).
The non-labor multiplier is from the Non-Labor multiplier field in the Basic Revenue Info screen.
The system applies the Labor Multiplier to labor billed at actual or ceiling rates.

After performing calculations using the Rate Schedule times Multiplier plus Non-Labor times Multiplier and Contract Value times Percent Complete formulas, the system selects the lower of the two amounts and updates the PROJ_SUM table.

Labor Cost times Multiplier Plus Non-Labor times Multiplier

Costpoint calculates revenue based on the multipliers entered in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) or in the Maintain Multiplier Overrides screen (Projects » Project Setup » Revenue Setup). If multipliers exist in the Maintain Multiplier Overrides screen, the system will use these in the calculation. If no multipliers exist in that screen, Costpoint will use the multipliers in the Basic Revenue Info screen. The system will apply Multipliers or Markup Rates entered in the Basic Revenue Info screen to all labor and/or non-labor accounts. If you want to apply different rates to the labor and/or non-labor accounts, set up multiplier(s) by labor and/or non-labor accounts in the Maintain Multiplier Overrides screen. For units calculation, click the Calculate Revenue on Units check box and the Non-Labor Multiplier from the Basic Revenue Info screen will be applied to all units.

When Labor cost is charged, the PLC field is required for both revenue and billing purposes. It is not necessary to set up the PLC rate tables or link PLCs to the project, but the BILL_LAB_CAT_CD field should not be null in the LAB_HS or OPEN_BILLING_DETL tables.

You must first run the Load Labor Rates screen (Projects » Cost and Revenue Processing » Revenue Processing or Projects » Billing » Prepare Billings) to populate the REV_RT_AMT column in the LAB_HS table. The program multiplies this amount by the hours to obtain the labor cost amount. It then multiplies this amount by the Labor multiplier amount in the Basic Revenue Info screen and places the amount that results from this calculation in the TOT_REV_ACT/ TGT_AMT columns of the PROJ_SUM table. It derives the non-labor revenue by multiplying the DIR_ALLOW_AMT by the non-labor multiplier in the Basic Revenue Info screen. The results of this calculation are placed in the TOT_REV_ACT/TGT_AMT columns of the PROJ_SUM table.

Contract Value Times Percent Complete

The system calculates ITD revenue to recognize by multiplying the percent complete from the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) by the total contract value in the Modifications screen (Projects » Project Setup » Controls). This value is the total ITD revenue to recognize. The system sums the revenue in the project ledger for the fiscal year up to and including the subperiod being calculated. This value becomes YTD revenue recognized previously. Revenue from the prior year table for fiscal years earlier than the selected fiscal year is summarized. The system adds this value to the YTD revenue previously recognized to arrive at ITD revenue previously recognized. It then subtracts this amount from the ITD revenue to recognize to arrive at revenue not yet recognized. This amount can be positive or negative. If ITD revenue exceeds the total project ceiling, the amount over the ceiling is posted as an over the ceiling amount to the owning organization in the subperiod being calculated. This reduces revenue to the ceiling amount.

Cost Plus Fee On Cost

This method applies a set fee percentage to allowable costs to arrive at revenue amounts. With this method, allowable costs and burdens must first be determined. The system compares costs incurred to costs ceilings to arrive at allowable costs. Cost ceilings can be set at the summary or detail account level. Cost ceilings can also be set at multiple project levels. Only ceilings set at project levels equal to or lower than the level of the revenue formula are observed, however. For example, you set up a three-level contract. The revenue formula exists at the second level, and costs are charged at the third level. Ceilings set at the second or third level are observed when allowable costs are determined; however, ceilings set and costs incurred at level one of the project will be ignored.

Once allowable costs and burdens have been determined, fee is applied. The system multiplies the fee percentage from the revenue formula by allowable costs to determine the fee amount. Fee overrides are next taken into consideration. Fee overrides are set by account for both direct and burden costs. Overrides can exist at higher project levels. For example, you set up a three-level project with the revenue formula at level 2. Costs are charged at level 3. The project has a fee percentage of 10%, except for travel costs, which receive a fee of 2%. You can set up a fee override percentage of 2% at the top level of the project for all project accounts to which travel is charged. This override is observed when revenue is calculated. Overrides can increase or decrease fee calculations.

Fees entered in Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) and the Maintain Burden Fee Overrides screen (Projects » Project Setup » Revenue Setup) are computed against the burdens on cost and hours, just as with other fee applications. Cost fee overrides are not applied to hour-based cost pool burdens.

Fee overrides set on direct accounts are also taken into consideration in the calculation of fee on associated burdens. In the preceding example, fee on direct travel costs is limited to 2%. Assume that travel costs are burdened with G&A. The fee calculated on the G&A applied to that travel is also limited to 2%.

A situation may exist where a fee override is set for a given cost pool. You can set an override for an element of that cost pool. In this instance, the override that applies a lower fee rate is used. For example, a fee override is set on the G&A pool of 3%. A cost fee override is set on travel accounts of 2%. Travel is burdened with G&A. In this instance, travel and its associated burdens (G&A) have a fee override percent of 2%, and G&A has a fee override of 3%. The lower of the two fee overrides (2%) is applied.

The next step is to apply contract fee ceilings. Contract fee ceilings are set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). Funded value ceilings are also set in the Project Total Ceilings screen. If a code of R displays next to the fee amount, it will be used for revenue purposes. If a code of A displays next to the fee amount, it will be used as a ceiling for revenue and billing. If total fee computed exceeds the fee ceiling, a credit is placed in the revenue account of the owning organization at the project level at which the revenue formula is entered. Thus, the amount of fee calculated is the allowable fee.

The system adds allowable fee to allowable direct costs to arrive at a current period revenue amount. It then sums revenue for the fiscal year up to and including the subperiod being calculated to arrive at year-to-date revenue recognized. It sums prior year revenue and adds the sum to year-to-date revenue to arrive at contract-to-date revenue recognized.

Next, the system compares this revenue amount to the Contract and Funded Values set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue-ceiling amount. If a code of A displays, the total value will be used as a ceiling for both revenue and billing. If total revenue computed exceeds the revenue ceiling, a credit will be placed in the revenue account of the owning organization at the project level at which the revenue formula is entered. Thus, the amount calculated is allowable total revenue.

If you are posting revenue by performing org, you need to run the Redistribute Revenue screen (Projects » Cost and Revenue Processing » Revenue Processing) at this time to reallocate revenue across organizations that incurred the over-ceiling costs and fee proportionately.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. Adjusting timesheets are entered into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When you calculate revenue for period 5, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets for period 3. Revenue does not change in the Project Summary table for period 3. When you post revenue, revenue for all periods of the current fiscal year up to and including the period selected is summarized in the Project Summary table. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Cost Incurred using Estimate At Completion

The system subtracts the ITD Revenue Loss Amount (from the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup)), if any, from the Est At Comp (EAC) amount (also from the Basic Revenue Info screen). It then divides the ITD allowable cost by that value to arrive at the ITD cost percent complete. It multiplies the ITD cost percent complete by the contract value from the Modifications screen (Projects » Project Setup » Controls) to arrive at the ITD Revenue before loss. Then the program subtracts the ITD Revenue Loss Amount, if any, from the ITD Revenue before loss, to arrive at the ITD revenue. It summarizes revenue recognized for the fiscal year, up to and including the current subperiod being calculated in the project revenue ledger. It then summarizes revenue for all fiscal years before the fiscal year being computed using the revenue amounts in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History). The program subtracts the sum of these two values from the ITD revenue amount to arrive at the amount of ITD revenue not yet recognized.

Example: 10,000 Contract Value

11,000 EAC Amount

11,000	EAC Amount
- 1,000	ITD Loss
= 10,000

2,000	Prior Year Allowable Costs
+ 3,500	YTD Allowable Costs
= 5,500	ITD Allowable Costs

5,500/10,000 = 55% ITD Cost Percent Complete

10,000	Contract Value
x 55%	ITD Cost Percent Complete
= 5,500	ITD Revenue Before Loss

5,500	ITD Revenue Before Loss
- 1,000	ITD Loss
= 4,500	ITD Revenue

Positive revenue adjustments are considered before ceilings. Negative revenue adjustments are considered after ceilings because negative adjustments and ceilings do the same thing:

1,200	Costs (CPFC w/0% fee)
1,000	Total Revenue Ceiling
-100	ITD Revenue
200	Over Ceiling Amount
900	Revenue in PROJ_SUM

Cost Incurred Using Estimate to Complete

The system adds the Est To Complete (ETC) amount from the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) to the ITD allowable cost and then subtracts the ITD Revenue Loss Amount (also found in the Basic Revenue Info screen), if any. It divides the resulting value into the ITD allowable cost to arrive at the ITD cost percent complete. It then multiplies the ITD cost percent complete by the contract value from the Modifications screen (Projects » Project Setup » Controls) to arrive at the ITD Revenue before loss. It subtracts the ITD Revenue Loss Amount, if any, from the ITD Revenue before loss, to arrive at the ITD revenue. Revenue recognized for the fiscal year, up to and including the current subperiod being calculated in the project revenue ledger, is summarized. Revenue for all fiscal years before the fiscal year being computed is summarized using the revenue amount in the Prior Year Cost and Revenue screen. The program then subtracts the sum of these two values from the ITD revenue amount to arrive at the amount of ITD revenue not yet recognized.

Example: 10,000 Contract Value

5,500 ETC Amount

5,500	ETC Amount
+ 5,500	ITD Allowable Costs
- 1,000	ITD Loss
= 10,000

2,000	Prior Year Allowable Costs
+ 3,500	YTD Allowable Costs
= 5,500	ITD Allowable Costs

5,500/10,000 = 55% ITD Cost Percent Complete

10,000	Contract Value
x 55%	ITD Cost Percent Complete
= 5,500	ITD Revenue Before Loss

5,500	ITD Revenue Before Loss
- 1,000	ITD Loss
= 4,500	ITD Revenue

Equal To Project Ledger Sales

The program summarizes revenue in the general ledger for the fiscal year up to and including the subperiod being calculated. This value becomes YTD revenue previously recognized. It then summarizes revenue in the project ledger (PROJ_SUM table) for the fiscal year up to and including the subperiod being calculated. This value becomes the YTD total revenue to recognize. It subtracts the revenue previously recognized from the revenue to recognize to arrive at YTD revenue not yet recognized. No calculations are performed with regard to ceilings. This is the only formula where journal entries to the revenue account in the general ledger are recognized. All other formulas use the revenue in the PROJ_SUM table and adjust the general ledger to that amount.

When you use the Equal to Project Ledger Sales formula, the Compute Revenue process (Projects » Cost and Revenue Processing » Revenue Processing) looks at GL_POST_SUM table for the revenue account. When you use this formula, you either enter an AJE (Adjusting Journal Entry) to credit the revenue account and debit the unbilled account, or you post a sales order that credits the revenue account automatically. When you execute the Compute Revenue process, it sets the revenue amount equal to the costs of the project on the labor and non-labor lines (actual direct cost plus burden) and then plugs the difference into the ACCT_FUNC_NO = 1 line.

Equal To Billings Before Retainage

The system summarizes the amounts in the Amount Billed column of the Maintain Project Bill Summary screen (Projects » Billing » Billing History) for the fiscal year, up to and including the subperiod being calculated. It summarizes the amounts in the Amount Retained column of the Maintain Project Bill Summary screen for the fiscal year, up to and including the subperiod being calculated. It adds the Amount Billed and Amount Retained values to arrive at the YTD billed amount before retainage. Revenue recognized for the fiscal year, up to and including the current subperiod being calculated in the PROJ_SUM table, is summarized. The PROJ_SUM amount is subtracted from the YTD billed amount before retainage to arrive at the amount of YTD revenue not yet recognized. The PROJ_SUM table is updated with this amount. Revenue, for all fiscal years before the fiscal year being computed, is summarized and added to the YTD revenue not yet recognized to arrive at the ITD revenue. The ITD number is compared to either the total contract ceiling or the funded value ceiling found in the Project Total Ceilings screen. If the ITD revenue exceeds the total project ceiling, the amount over the ceiling is posted to the owning organization in the subperiod being calculated as an over-the-ceiling amount. This reduces revenue to the ceiling amount.

Equal To Billings After Retainage

The amounts in the Amount Billed column of the Maintain Project Bill Summary screen (Projects » Billing » Billing History) are summarized, for the fiscal year, up to and including the subperiod being calculated to arrive at the YTD billed amount after retainage. Revenue recognized for the fiscal year, up to and including the current subperiod being calculated in the PROJ_SUM table, is summarized. The amount from the PROJ_SUM table is subtracted from the YTD billed amount after retainage to arrive at the amount of YTD revenue not yet recognized. The PROJ_SUM table is then updated with this amount. Revenue, for all fiscal years before the fiscal year being computed, is summarized and added to the YTD revenue not yet recognized to arrive at the ITD revenue. The ITD number is compared to either the total contract ceiling or the funded value ceiling found in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If the ITD revenue exceeds the total project ceiling, the amount over the ceiling is posted to the owning organization in the subperiod being calculated as an over-the-ceiling amount. This reduces revenue to the ceiling amount.

Equal to Deliveries

The amounts in the Delivery Amount column of the Maintain Project Bill Summary screen (Projects » Billing » Billing History) are summarized, up to and including the subperiod being calculated, to arrive at the ITD Delivery Amount. Revenue recognized for the fiscal year, up to and including the current subperiod being calculated in the PROJ_SUM table, is summarized. Revenue for all fiscal years before the fiscal year being computed is summarized using the revenue amount in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History). The sum of these two values is subtracted from the ITD Delivery Amount to arrive at the amount of ITD revenue not yet recognized. The PROJ_SUM table is updated with this amount. The ITD number is compared to either the total contract ceiling or the funded value ceiling found in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If the ITD revenue exceeds the total project ceiling, the amount over the ceiling is posted to the owning organization in the subperiod being calculated as an over-the-ceiling amount. This reduces revenue to the ceiling amount.

Fee on Hours plus Cost Incurred

This method summarizes the allowable direct and indirect costs incurred and a set fee per hour to arrive at revenue amounts. With this method, allowable costs and burdens must first be determined. To arrive at allowable costs, the system compares costs in the PROJ_SUM table to cost ceilings in the Project Direct Cost Ceilings screen (Projects » Project Setup » Project Ceilings). You can set cost ceilings at the summary or detail account level. You can also set them at multiple project levels. Only ceilings set at project levels equal to or lower than the level of the revenue formula are observed, however. For example, you set up a three-level contract. The revenue formula exists at the second level, and costs are charged at the third level. Ceilings set at the second or third level are observed when allowable costs are determined. However, ceilings set and costs incurred at level one of the project are ignored. Ceilings on direct costs are established in the Project Direct Cost Ceilings screen and the ceilings on indirect costs are established in the Project Burden Cost Ceilings screen (Projects » Project Setup » Project Ceilings).

After determining allowable costs and burdens, the system applies the fee. It multiplies the fee per hour rate from the revenue formula by the hours charged to determine the fee amount.

Fee overrides are next taken into consideration. Fee overrides are set by account for both direct and burden costs. The cost and burden fee overrides are set up in the Maintain Cost Fee Overrides screen (Projects » Project Setup » Revenue Setup) and the Maintain Burden Fee Overrides screen (Projects » Project Setup » Revenue Setup), respectively. Overrides can exist at higher project levels. For example, you set up a three-level project with the revenue formula at level 2. Costs are charged at level 3. The project has a fee percentage of 10%, except for travel costs, which receive a fee of 2%. You can set up a fee override percentage of 2% at the top level of the project for all project accounts to which travel is charged. The system observes this override when calculating revenue. Overrides can increase or decrease fee calculations.

Use caution; a fee override will change the fee computed from hours. Fee overrides are based on costs, rather than hours.

The next step is to apply contract fee ceilings. Contract fee ceilings are set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the ceiling amount, the ceiling will be used for revenue purposes. If a code of A displays next to the ceiling amount, the ceiling will be used for revenue and billing. If total fee computed exceeds the fee ceiling, a credit is placed in the PROJ_SUM table at the revenue account of the owning organization at the project level at which the revenue formula is entered. Thus the amount of fee calculated is the allowable fee. The system adds the allowable fee to allowable direct costs to arrive at a total revenue amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year-to-date revenue recognized. Prior year revenue is summarized in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) and added to year to date revenue to arrive at contract to date revenue recognized.

The system compares this revenue amount to the Contract Value set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. If a code of A displays next to the amount, this value will be used as a total revenue and billing ceiling amount. If total revenue computed exceeds the revenue ceiling, a credit will be placed in the PROJ_SUM table on the revenue account of the owning organization at the project level at which the revenue formula is entered. Thus the amount calculated is allowable total revenue.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets from period 3. In the Project Summary Table, revenue for period 3 does not change. When you post the revenue, revenue for all periods of the current fiscal year up to and including the period selected is summarized in the Project Summary table. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Fixed Amount Month To Date

The system compares the amount entered in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) to the sum of all period-to-date revenue in the project revenue ledger for the period being computed. It then subtracts the sum of current period revenue from the amount entered in the Basic Revenue Info screen to arrive at an amount of current period revenue not yet recognized. The revenue ledger is updated with this amount. Prior year revenue from the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) is subtotaled, as is revenue posted to periods less than the period being computed. The system adds the two subtotals to arrive at an inception-to-date revenue amount. The system compares this inception-to-date number to either the total contract ceiling or the funded value ceiling in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If inception-to-date revenue exceeds the total project ceiling, the amount over the ceiling is posted to the owning organization in the subperiod being calculated as an over the ceiling amount. This reduces revenue to the ceiling amount.

Fixed Amount Year To Date

The system compares the amount entered on the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) to the sum of all revenue recognized for the fiscal year up to and including the current subperiod being calculated in the project revenue ledger. This sum of YTD revenue is subtracted from the amount entered in the Basic Revenue Info screen to arrive at an amount of YTD revenue not yet recognized. The revenue ledger is updated with this amount. Prior year revenue from the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) is subtotaled and added to YTD revenue to arrive at an Inception-to-Date (ITD) revenue amount. The system compares this ITD number to either the total contract ceiling or the funded value ceiling. If ITD revenue exceeds the total project ceiling, the amount over the ceiling is posted to the owning organization in the subperiod being calculated as an over-the-ceiling amount. This reduces revenue to the ceiling amount.

Fixed Amount Contract To Date

Revenue recognized for the fiscal year up to and including the current subperiod being calculated in the project revenue ledger is summarized. Revenue for all fiscal years before the fiscal year being computed is summarized using the revenue amount in the Prior Years Cost and Revenue screen.

The system compares the amount entered in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) to the sum of these two values. It subtracts this sum from the amount entered in the Basic Revenue Info screen to arrive at an amount of ITD revenue not yet recognized. The revenue ledger is updated with this amount. The inception-to date-number is compared to either the total contract ceiling or the funded value ceiling. If inception-to-date revenue exceeds the total project ceiling, the amount over the ceiling is posted to the owning organization in the subperiod being calculated as an over the ceiling amount. This reduces revenue to the ceiling amount.

Loaded Labor Rate

Before computing revenue for T&M-based contracts, you must run the Load Labor Rates screen (Projects » Cost and Revenue Processing » Revenue Processing or Projects » Billing » Prepare Billings). This program uses the T&M Rate Sequence table to determine which billing rate should be used for the labor. This labor rate is then stored in the Labor History table with actual hours. Therefore, if more than one accounting period has labor transactions since the last time this program was run, you must run this process for each period with labor transactions.

You must charge hours used in the calculation of T&M Revenue to an account with a Function Code of LABOR. Hours charged to accounts with any other function code will not be recognized. For subcontractor and vendor hours that are to be billed and recognized as T&M revenue, be sure to set up an account with a Function Code of LABOR. A Project Labor Category (PLC) must be entered on the timesheet for any hours included in the T&M revenue calculation.

The program first calculates allowable hours by comparing actual hours to ceiling amounts. Ceilings are set by employee, vender, and by labor category. You can also set ceilings at multiple project levels. Only ceilings at project levels equal to or lower than the project level of the revenue formula are observed, however. For example, you set up a three-level contract. The revenue formula exists at the second level, and costs are charged at the third level. Ceilings set at the second or third level are observed in the determination of allowable hours. Ceilings set at level one of the project are ignored. If a ceiling is set for an employee and an additional ceiling is set for the labor category of that employee, the employee ceiling takes precedence. For example, an employee is limited to charging 100 hours to a project. His labor category may charge 250 hours to the project. When the system calculates allowable hours, hours in excess of 100 charged by this employee are considered over ceiling. The hours of other employees can be used in the calculation of allowable hours for this labor category; however, this employee's hours will not be considered allowable. In other words, the program determines allowable hours by employee as the first phase of the calculation. Allowable hours by labor category are determined during the second phase of the calculation.

Once allowable hours are determined, they are copied to the Labor History table. The billing rate is then multiplied by the allowable hours to determine the total T&M revenue.

The program compares this revenue amount to the Contract Value and Funded Value set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year to date revenue recognized. If a code of A displays next to the amount, this value will be used as a total revenue and billing ceiling amount. Prior year revenue from the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) is summarized and added to year to date revenue to arrive at contract-to-date revenue recognized. This amount can be positive or negative. If total revenue computed exceeds the revenue ceiling, the program will place a credit in the PROJ_SUM table on the revenue account line of the owning organization at the project level at which the revenue formula is entered. Thus the amount calculated is allowable total revenue.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with the revenue on the adjusted timesheets entered in period 3. In the Project Summary table, revenue for period 3 does not change. When revenue is posted, revenue for all periods of the current fiscal year up to and including the period selected is summarized in the Project Summary table. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Loaded Labor Rate Plus Costs Incurred On Non-labor (T&M)

This formula is similar to the Loaded Labor formula, in that revenue is based on allowable hours multiplied by a rate per hour. However, this formula also includes in the recognition of revenue on non-labor ODC costs incurred as well.

The program a first calculates the revenue amount for the loaded labor portion of the formula. This process is the same as that used to arrive at revenue using the Loaded Labor formula.

Next, the program summarizes allowable non-labor costs incurred. You must charge costs to accounts with a Function Code of NON-LABOR for them to be considered in the calculation of allowable costs. The program compares costs incurred to cost ceilings established in the Project Direct Cost Ceilings screen (Projects » Project Setup » Project Ceilings) to determine allowable costs. You can set cost ceilings at the summary or detail account level. You can also set them at multiple project levels. Only ceilings set at project levels equal to or lower than the level of the revenue formula are observed, however. For example, you set up a three-level contract. The revenue formula exists at the second level, and costs are charged at the third level. Ceilings set at the second or third level are observed when allowable costs are determined, however, ceilings set at level one of the project will be ignored. Allowable costs are added to the loaded labor revenue amount to arrive at total T&M revenue.

The system compares this revenue amount to the Contract and Funded Values set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. If a code of A displays next to the amount, this value will be used as a total revenue and billing ceiling amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year-to-date revenue recognized. Prior year revenue in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) is summarized and added to year-to-date revenue to arrive at contract-to-date revenue recognized. If total revenue computed exceeds the revenue ceiling, a credit will be placed in the PROJ_SUM table on the revenue account line of the owning organization at the project level at which the revenue formula is entered. Thus the amount calculated is allowable total revenue.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets entered in period 3. In the Project Summary table, revenue for period 3 does not change. When revenue is posted, revenue for all periods of the current fiscal year up to and including the period selected is summarized in the Project Summary table. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Loaded Labor Plus Non-labor Plus Burden on Non-labor

This formula is similar to the Loaded Labor Rate Plus Cost Incurred on Non-labor (T&M) formula. However, this formula includes in the recognition of revenue burden costs incurred as well.

The program first calculates revenue for the loaded labor portion of the formula. This process is the same as that used to arrive at revenue using the Loaded Labor Rate formula.

The program next calculates allowable non-labor revenue. This process is the same as that used to arrive at revenue using the Loaded Labor Rate Plus Cost Incurred on Non-labor (T&M) formula.

The next step is to calculate the allowable burden. Burden cost ceilings and overrides are taken into consideration when calculating revenue. The burden cost ceiling and ceiling overrides are taken from the Project Burden Cost Ceilings screen (Projects » Project Setup » Project Ceilings) and the Maintain Burden Fee Overrides screen (Projects » Project Setup » Revenue Setup), respectively. The burden rates are stored by pool in the Pool Rates subtask of the Cost Pools screen (Projects » Cost and Revenue Processing » Cost Pool Setup). The system multiplies this stored burden rate by allowable costs or hours (for hours-based pools) to arrive at allowable burden costs. The Compute Revenue process (Projects » Cost and Revenue Processing » Revenue Processing) calculates burden at target rates and burden at actual rates. Allowable burden costs are added to Labor plus non-labor revenue to arrive at total T&M revenue.

The program compares this revenue amount to the Contract and Funded Values set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. If a code of A displays next to the amount, this value will be used as a total revenue and billing ceiling amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year-to-date revenue recognized. Prior year revenue found in the Prior Year cost and Revenue screen is summarized and added to year-to-date revenue to arrive at contract-to-date revenue recognized.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets entered in period 3. In the Project Summary table, revenue for period 3 does not change. When revenue is posted, revenue for all periods of the current fiscal year up to and including the period selected is summarized in the Project Summary table. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Loaded Labor Plus Non-labor W/Burden W/Fee

This formula is similar to the Loaded Labor Plus Non-labor plus Burden on Non-labor formula, however, this formula includes in the recognition of revenue fee incurred on non-labor as well.

The program first calculates revenue amount for the loaded labor portion of the formula. This process is the same as that used to arrive at revenue using the Loaded Labor Rate formula.

The program next arrives at allowable non-labor and burden revenue. This process is the same used to arrive at revenue using the Loaded Labor Plus Non-labor plus Burden on Non-labor formula.

The program then calculates allowable fee on non-labor. Once allowable costs and burdens have been determined, fee is applied. A fee percentage is determined at the project level at which revenue is computed. This percentage is multiplied by allowable costs to determine the fee amount. Fee overrides are next taken into consideration. The fee overrides are set up in the Maintain Burden Fee Overrides screen (Projects » Project Setup » Revenue Setup) and the Maintain Cost Fee Overrides screen (Projects » Project Setup » Revenue Setup). You set fee overrides by account for both direct and burden costs. Overrides can exist at higher project levels. For example, you set up a three-level project with the revenue formula at level 2. Costs are charged at level 3. The project has a fee percentage of 10%, with the exception of travel costs, which receive a fee of 2%. You can set up a fee override percentage of 2% at the top level of the project for all project accounts to which travel is charged. This override is observed when revenue is calculated. Overrides can increase or decrease fee calculations.

Fee overrides set on direct accounts are also taken into consideration in the calculation of fee on associated burdens. In the example, fee on direct travel costs is limited to 2%. Assume that travel costs are burdened with G&A. The fee calculated on the G&A applied to that travel is also limited to 2%.

Suppose you set a fee override for a given cost pool. You can set an additional override for an element of that cost pool. In this instance, the override that applies a lower fee rate is used. For example, you set a fee override of 3% on the G&A pool. Then you set a cost fee override of 2% on travel accounts. Travel is burdened with G&A. In this instance, travel and its associated burdens (G&A) have been identified with a fee override percent of 2%. However, G&A has additionally been identified with a fee override of 3%. The lower of the two fee overrides (2%) is applied.

The next step is to apply contract fee ceilings. You can set contract fee ceilings in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup). Set funded value ceilings in the Project Billing Info screen (Projects » Billing » Billing Master or Projects » Project Setup » Revenue Setup). If a code of R displays next to the ceiling amount, the ceiling will be used for revenue purposes. If total fee computed exceeds the fee ceiling, a credit will be placed in the revenue account of the owning organization at the project level at which the revenue formula is entered. Thus the amount of fee calculated is the allowable fee.

Allowable fee is added to allowable direct costs to arrive at a total revenue amount. The program compares this revenue amount to the Contract and Funded Values set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. If a code of A displays next to the amount, this value will be used as a total revenue and billing ceiling amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year to date revenue recognized. Prior year revenue in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) is summarized and added to year-to-date revenue to arrive at contract-to-date revenue recognized.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets from period 3. In the Project Summary table, revenue for period 3 does not change. When revenue is posted, revenue is summarized in the Project Summary table for all periods of the current fiscal year up to and including the period selected. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Loaded Labor Rate W/Fee Plus Non-Labor W/Burden W/Fee

This formula is similar to the Loaded Labor Plus Non-labor w/Burden w/Fee formula. However, this formula includes in the recognition of revenue fee incurred on labor as well.

The program first calculates revenue amount for the loaded labor portion of the formula. This process is the same as that used to compute revenue using the Loaded Labor Rate formula.

The program applies the labor fee percent from the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup) to the labor revenue. The program checks for overrides in the Maintain Cost Fee Overrides screen (Projects » Project Setup » Revenue Setup) and applies them, if needed.

Next, the program computes allowable non-labor and burden revenue. This process is the same as that used to compute revenue using the Loaded Labor Plus Non-labor plus Burden on Non-labor formula.

The program then calculates allowable fee on non-labor. Once allowable costs and burdens have been determined, fee is applied. A fee percentage is determined at the project level at which revenue is computed. The program multiplies this percentage by allowable costs to determine the fee amount. Fee overrides are next taken into consideration. The fee overrides are set up in the Maintain Burden Fee Overrides screen (Projects » Project Setup » Revenue Setup) and the Maintain Cost Fee Overrides screen (Projects » Project Setup » Revenue Setup). You set fee overrides by account for both direct and burden costs. Overrides can exist at higher project levels. For example, you set up a three-level project with the revenue formula at level 2. Costs are charged at level 3. The project has a fee percentage of 10%, with the exception of travel costs, which receive a fee of 2%. You can set up a fee override percentage of 2% at the top level of the project for all project accounts to which travel is charged. This override is observed when revenue is calculated. Overrides can increase or decrease fee calculations.

Suppose you set a fee override for a given cost pool. You can set an additional override for an element of that cost pool. In this instance, the system uses the override that applies a lower fee rate. For example, you set a fee override of 3% on the G&A pool. Then you set a cost fee override of 2% on travel accounts. Travel is burdened with G&A. In this instance, travel and its associated burdens (G&A) have been identified with a fee override percent of 2%. However, G&A has additionally been identified with a fee override of 3%. The lower of the two fee overrides (2%) is applied.

The next step is to apply contract fee ceilings. You can set contract fee ceilings in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup). Set funded value ceilings in the Project Billing Info screen (Projects » Billing » Billing Master or Projects » Project Setup » Revenue Setup). If a code of R displays next to the ceiling amount, the ceiling will be used for revenue purposes. If total fee computed exceeds the fee ceiling, a credit will be placed in the revenue account of the owning organization at the project level at which the revenue formula is entered. Thus the amount of fee calculated is the allowable fee.

Allowable fee is added to allowable direct costs to arrive at a total revenue amount. The program compares this revenue amount to the Contract and Funded Values set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. If a code of "A" displays next to the amount, this value will be used as a total revenue and billing ceiling amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year-to-date revenue recognized. Prior year revenue in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) is summarized and added to year-to-date revenue to arrive at contract to date revenue recognized.

Please note that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final, and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets entered in period 3. In the Project Summary table, revenue for period 3 does not change. When you post the revenue, revenue is summarized in the Project Summary table for all periods of the current fiscal year up to and including the period selected. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Rate Schedule times Multiplier Plus Non-labor times Multiplier

This is similar to the Loaded Labor Rate formula. This formula is based on allowable hours (the lesser of actual or ceiling amounts) multiplied by rate per hour. The rate is derived during the Load Labor Rates process (Projects » Cost and Revenue Processing » Revenue Processing or Projects » Billing » Prepare Billings). If you change the multiplier, it will be retroactive to the beginning of the fiscal year. The change will be reflected in the current period. The labor calculation consists of the following:

Allowable labor hours (the lesser of actual or ceiling amounts) are multiplied by the calculated billing rate (the Revenue Rate Amount from the LAB_HS table).
The lower of either a ceiling rate OR actual hourly rate is multiplied by allowable labor hours. This amount is then marked up by the multiplier rates.
The rate schedule is determined by the Revenue Rate Amount from the LAB_HS table. Rates are set up with a rate type of A (Actual rate), B (Billing rate), or C (Ceiling rate).
The non-labor multiplier (from the Revenue Setup menu in Costpoint Project Setup) is applied to allowable non-labor costs.
Labor Multiplier applied to labor billed at actual or ceiling rates.

Unit Revenue Only

This system will use this formula if you selected the Calculate Revenue on Units check box in the Basic Revenue Info screen (Projects » Project Setup » Revenue Setup). If you select this check box, unit revenue is computed in addition to non-unit based revenue. Please note that you must enter a transaction-based revenue formula for unit revenue calculations to be allowed. Both unit and non-unit based revenue is posted to the revenue account at the level of the project revenue formula. These amounts are stored in separate fields in the Project Summary table.

The program calculates unit-based revenue by using information stored in the Link To Items subtask of the CLIN Information screen (Projects » Project Setup » Unit Pricing). Enter pricing information into the Project Unit Pricing screen (Projects » Project Setup » Unit Pricing) and the CLIN Information screen. This information includes price per unit information, as well as ceiling and automatic billing amounts. Unit pricing can be fixed across all units for a given Project, CLIN, and Item combination, or it can be incremental based on number of units, or date ranges.

You can also set up pricing information for unit-based revenue calculations through generic price catalogs. Pricing information set up through generic price catalogs contains a set price for all units charged to the price catalog/item combination used. In other words, only total pricing can be used with generic price catalogs; incremental pricing is not available. In addition, you cannot use ceilings in combination with generic price catalogs, nor are automatic billing quantities available. Other calculations outlined in the following paragraphs for Project/CLIN/Item revenue also apply to generic price catalogs, apart from the exceptions noted.

Enter and post units used for the month in the screens in the Unit Usage menu in Costpoint Billing. Posting from these screens updates the Units Usage History table. You must post units to this table to have them included in revenue calculations. Units used for the period being calculated are summarized by Project, CLIN, and Item. Allowable units used for all prior years are summarized to arrive at a total number of allowable units used. Allowable units used for the current year are then summarized for all periods before the period being calculated. The program adds these amounts to the current period units used to arrive at a total number of units used. It then compares this amount to the total unit ceiling set in the Link to Items subtask of the CLIN Information screen. If units are in excess of this ceiling, they are disallowed in the reverse order in which they were used. To put it another way, units are disallowed on a "last in, first out" basis. Disallowance is based on usage date. The system derives an allowable number of units for the period being calculated.

The program next looks to the Project Unit Pricing screen (Projects » Project Setup » Unit Pricing) for unit pricing information. The project/CLIN and item used for pricing information is the project/CLIN and item to which units used were charged.

Unit pricing can be fixed for all units, or it can be incremental. If it is incremental, you can set price increments by date or by number of units. If the unit price is fixed for all units, the program multiplies this price by the allowable units to arrive at a revenue amount.

If unit pricing is incremental, the program first looks at the date range of the price increments.

Once it finds the correct date range, it looks next to the quantity for the unit price. It multiplies the number of allowable units less than or equal to the maximum units at that price by the corresponding price to arrive at a revenue amount for that group of units. The revenue amounts are summed for the period being calculated to arrive at a total revenue amount.

If incremental pricing is used, the program performs this calculation on a period-by-period basis. For example, assume the price per unit is $100 per unit for the first 50 units. The price for all subsequent units sold is $75 per unit. The revenue calculation multiplies the first 50 units sold each period by $100. All other units are multiplied by $75.

The program compares this revenue amount to the Contract and Funded Values set in the Project Total Ceilings screen (Projects » Project Setup » Project Ceilings). If a code of R displays next to the amount, this value will be used as a total revenue ceiling amount. If a code of A displays next to the amount, this value will be used as a total revenue and billing ceiling amount. Revenue for the fiscal year up to and including the subperiod being calculated is summarized to arrive at year-to-date revenue recognized. Prior year revenue is summarized using the revenue amounts in the Prior Year Cost and Revenue screen (Projects » Project Setup » Project History) and then it is added to year-to-date revenue to arrive at contract-to-date revenue recognized.

If total revenue computed exceeds the revenue ceiling, a credit will be placed in the PROJ_SUM table on the revenue account line of the owning organization at the project level at which the revenue formula is entered. Thus the amount calculated is allowable total revenue. Allowable total revenue is always stored in the revenue account at the project level at which the revenue formula is entered. Unit revenue is always posted to the owning organization.

Remember that revenue is calculated on a period-by-period basis. Allowable costs and fee incurred for a given period constitute revenue for that period. Adjustments made to prior period costs are reflected in the revenue recognized for that period. For example, assume the current period for revenue calculation is period 5. You enter adjusting timesheets into period 3 for corrections to costs incurred in period 3. Financial Statements for period 3 are final and will not be rerun for this period. When revenue for period 5 is calculated, allowable costs and fee are recognized as current period revenue for period 5 along with revenue on the adjusted timesheets from period 3. In the Project Summary table, revenue for period 3 does not change. When revenue is posted, revenue is summarized in the Project Summary table for all periods of the current fiscal year up to and including the period selected. In the GL_POST_SUM table, revenue account balances are summarized for all periods of the current fiscal year up to and including the period selected. The difference is posted to the current period in GL_POST_SUM. Therefore, on a period-by-period basis, revenue amounts in GL_POST_SUM may not equal revenue per the Project Summary table. The amounts tie on a YTD basis, however.

Because the accuracy of revenue and profit information on the Project Status Report depends on the calculation of revenue, make sure that you compute revenue for all projects for which you expect to print a Project Status Report. (Remember you must also update the PSR Table before you run Project Status Reports.)