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Best Practice Checklist: Reviewing the Month-End Close Process in Zuora Billing 

01-04-2024 15:00

Strengthen your Zuora foundation with best practice checklists from the Community, Knowledge Center, and Self Service Solutions so that you can confidently use Zuora. This checklist focuses on Accounting Close Process for Month-End Close in Zuora Billing. 

PREREQUISITES

 Set Accounting Period to Pending Close. Review prerequisites needed for accounting close and revenue recognition:


STEP 1 - Run trial balance

 Run Trial Balance to get summary information for billing, cash, credit balance and accounts receivable aging

 Action Needed before closing an accounting period

 Transaction Dates used to determine whether a transaction falls within an Accounting Period date range. 


STEP 2: Review accounts receivable aging detail

 Review Accounts Receivable Aging Detail which provides a summary of all outstanding amounts and there are two reports which you can use

    • Accounting Period Aging Report - As of the end of the accounting period and is a canned report which cannot be edited
    • Reporting Tool Aging Report - A live report updated as customers make payments, adjustments processed, etc. In this report, invoice fields can be added/removed to build


STEP 3: Soft Close

 Soft Close - Set accounting periods to Pending Close as an intermediate phase before closing.


STEP 4: Close Accounting Period

 Close Accounting Period - After closing an accounting period, a final balance will be created for the closed accounting period.


STEP 5: Create Summary Journal Entries in Your Accounting System

 Create Summary Journal Entries - Journal run vs.journal entry


STEP 6: View Summary and Transaction Details

 View Summary and Transaction Details - Transactions are grouped into summary journal entries based on transaction type, currency, debit account, and the GL segmentation rule. 


STEP 7: Export SJE Data

 Export SJE Data - Summary journal entries are well-formatted for exporting into a CSV file and importing into your GL system.


STEP 8: Review Revenue Reports

 Review Revenue Reports - Revenue recognition allows companies to recognize the monetary value of a contract over a period of time as the revenue is realized and earned (when goods are delivered or services rendered). 

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