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Dec 27, 2022 at 08:00 AM

Revenue Accounting Recognition scope clarification

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Hi Team,

We understand from the scope items available for RAR (Revenue Accounting Recognition) i.e., Scope Id's 2AR,2T3,2BE,3L3,3KK,3VS and 5DQ all this scope id support contract-based revenue recognition in cloud system.

In On premise we had both the concepts i.e., SD (Selling and distribution) based revenue recognition and Contract based revenue recognition.

However, in cloud we can see there is only one concept i.e., Contract based revenue recognition.

We need your confirmation whether our understanding is correct and on how RAR works in Cloud system.

We need your guidance/ supporting documentation about how the process works in SAP S/4 HANA Cloud system.

Thanks,


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