Header

Revenue Accounting and Reporting (RAR)

MannlÖwe offers comprehensive SAP Revenue Accounting and Reporting (RAR) services to help businesses manage revenue recognition efficiently and comply with evolving financial reporting standards. Our expert team assists organizations in implementing SAP RAR solutions tailored to their unique requirements, ensuring accurate revenue recognition and reporting across the enterprise.

Overview of SAP RAR:

  1. Identify Contracts: Create revenue accounting contracts corresponding to operational documents from the back-end system.
  2. Identify Performance Obligations: Identify and manage performance obligations included in each contract.
  3. Allocate the Contractual Price: Determine and allocate the total price among performance obligations.
  4. Manage Fulfillment of Performance Obligations: Recognize revenue as performance obligations are fulfilled.
  5. Make Revenue Postings: Regularly post revenue-related transactions to the general ledger.

Challenges in Revenue Accounting and Reporting:

  • Keeping up with evolving financial reporting standards like IFRS 15 and FASB ASC 606.
  • Recognizing time and event-based revenues accurately.
  • Allocating transaction prices effectively across performance obligations.

Key Solutions Provided by MannlÖwe:

  1. Contract Management: Create revenue accounting contracts and manage performance obligations.
  2. Price Allocation: Allocate transaction prices across individual performance obligations.
  3. Fulfillment Management: Manage the fulfillment of performance obligations and recognize revenue accordingly.
  4. General Ledger Posting: Make accurate postings to the general ledger to reflect revenue-related transactions.
  5. IFRS 15 Compliance:
    MannlÖwe helps businesses maintain compliance with IFRS 15 standards by implementing SAP RAR solutions that adhere to the outlined five-step process:
    • Identify revenue accounting contracts.
    • Determine performance obligations.
    • Establish transaction price.
    • Allocate price to performance obligations.
    • Recognize revenues based on the nature of each performance obligation.

Partner with MannlÖwe to streamline your revenue accounting and reporting processes with SAP RAR solutions tailored to your business needs. Our expertise and flexible approach ensure accurate revenue recognition, compliance with regulatory requirements, and improved financial reporting capabilities.