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Calling Process

When you call billing extensions during revenue generation, you can create events with a revenue amount, or with a revenue amount and a bill amount, as long as the revenue amount is nonzero.

When you call billing extensions during invoice generation, you can create events with a bill amount, or with a revenue amount and a bill amount, as long as the bill amount is nonzero.

The following table provides examples of events with various revenue and bill amounts that you can create in the two calling processes.

Billing Extension	Event	Revenue Amount	Bill Amount	Comments
Called in Generate Draft Revenue
1	1	100	100	Bill amount is not processed until revenue for the event is distributed
2	2	100	-	Revenue event only
Called in Generate Draft Invoice
3	1	100	100	Revenue amount is not processed until the invoice on which the event is billed is released
4	2	-	100	Invoice event only
Table 1 - 111. Calling Process: Example Events (Page 2 of 2)

If you create an event with both revenue and bill amounts, the revenue amount and the bill amount do not have to be the same. You can create positive or negative event amounts with billing extensions.

You can create a billing extension that is called by both revenue generation and invoice generation. You would do this if your billing calculation is similar for both the revenue and bill amounts, with the exception that the event revenue amount is based on the accrued revenue, and the event bill amount is based on the amount invoiced. You can write your procedure to have the same logic for the calculation but to use the appropriate input of either accrued revenue or amount invoiced into your calculation. With this approach of writing one procedure and one billing extension, you can avoid duplication of your logic. In addition, your project users only need to assign one billing extension to their projects, instead of two billing extensions - one for revenue accrual and one for invoicing.

Calling Place

• Pre-Processing

• Delete Processing

• Cancel Invoice Processing

• Write-Off Invoice Processing

• Adjustment Processing

• Regular Processing

• Post-Regular Processing

• Post-Processing

Figure 1 - 66.

When Revenue Processes Call Billing Extensions

Figure 1 - 67.

When Invoice Processes Call Billing Extensions

Pre-Processing

Delete Processing

Cancel Invoice Processing

Write-Off Invoice Processing

Adjustment

You can create automatic events in this step. If you transfer these events to Oracle Receivables for autoinvoicing, link the automatic event invoice lines to their corresponding events in the original invoice. See: Inserting Events. Oracle Projects calls a billing extension in this step after all of the crediting revenue and invoices are created.

Regular

You can create automatic events in this step. Oracle Projects calls a billing extension in this step after all non-crediting revenues and invoices are created.

Post-Regular

Post-Processing

The following table shows an example of the different automatic events created by using different calling places for a billing extension based on a percentage of the amount invoiced.

				Automatic Event Amount
Period	Invoice Number	Invoice Credited	Invoice Amount	Regular & Adjustment	Regular Only
1	1		1000	100	100
2	2	1	-500	-50
	3		1500	150	100
Summary:			2000	200	200
Table 1 - 112. Calling Place: Example Events (Page 1 of 1)

The billing extension called only during regular processing accounted for the total amount invoiced, including the credited amount during regular processing as illustrated by the event created for invoice number three.

Transaction Independent

Transaction independent billing extensions are executed for each project with an active billing assignment, even if there are no transactions to process. This type of billing extension relies on an input other than billable transactions on a project. If this input changes, the calculated billing amount changes, which you want to record. For example, the cost-to-cost revenue accrual method, which relies on the budgeted cost and revenue amounts. If the budgeted cost or budgeted revenue changes, the revenue amount changes. You want to record this revenue amount change even if no other transactions are processed in revenue generation. This category includes the class of billing extensions that calculate revenue and invoice amounts based on values independent of the amounts included on draft revenue and invoices.

Note: If you design a billing extension to be transaction independent, it will be executed in every run of the revenue or invoice processes.

Transaction dependent billing extensions are executed only if there are other transactions processed. An example of this type of billing extension is surcharge in which you calculate a percentage of the amount billed. You do not want to bill surcharge if no other transactions are billed.

Transaction dependent billing extensions are called only if billable expenditure items and events exist that need to be processed. For example, there may be new transactions that are set to Non-Billable, which are not going to generate any revenue or bill amount and will not cause the billing extension to be called. This category includes billing extensions that calculate revenue and invoice amounts based on (i) a function of the revenue and invoice amounts included on draft revenue and invoices, or (ii) the attributes of a group of transactions included on draft invoices.

The following table shows an example of transaction dependent and transaction independent billing extensions. Billing extension 1, which is transaction dependent, calculates 10% of the invoice amount. Billing extension 2, which is transaction independent, bills $100 per period regardless of amount invoiced in that period.

				Automatic Event Amount
Period	Invoice Number	Invoice Credited	Invoice Amount	Transaction Dependent	Transaction Independent
1	1		1000	100	100
2	2	1	-500	-50
	3		1500	150	100
3	4		-	-	100
Summary:			2000	200	300
Table 1 - 113. Transaction Independent Example: Example Events (Page 2 of 2)

Relationship between Calling Place and Transaction Independent

You should call any transaction dependent billing extension in both regular and adjustment processing. This will ensure that all adjustments, including those that do not result in a new non-crediting amount, are properly accounted for. For example, you may have a non-billable adjustment which reverses amounts, but does not process any new non-crediting amounts.

You only need to call your transaction independent billing extension once during processing for a project, which can be done during regular processing. You typically do not call transaction independent billing extensions during adjustment processing.

The table below summarizes how you should set up the calling place and transaction independent parameters in your billing extension definition, based on the type of billing extension calculation.

Billing Extension Calculation	Regular	Adjustment	Transaction Independent
Based solely on transactions
Based on inputs other than transactions
Table 1 - 114. Calling Place and Transaction Independent Parameters (Page 1 of 1)

There are exceptions to the general rule described in Table 1 - 114. You may define a billing extension as transaction dependent, but to be called only during regular processing. For example, you want to charge interest on outstanding invoices, but only want to include the interest on an invoice that has other transactions included on it. The interest calculation itself is a transaction independent calculation, but you define it as transaction dependent so that it is calculated only when other transactions are processed for an invoice. You do not want to create invoices with only an interest amount.

Project-Specific

Project-specific billing extensions are those methods which are applicable only to specific projects for which they are negotiated. Project users assign these billing extensions to projects and top tasks; you cannot assign these billing extensions to project types.

Non-project-specific billing extensions are those methods which implement company policy across projects. You assign these billing extensions to project types; the billing extension applies to all projects of that project type. Project users cannot assign these billing extensions to projects.

Suggestion: You can include conditional logic in your procedure to allow exceptions to project type rules.

Event Attributes

Event Attribute	Comments
Event Type	Defaults to event type on billing extension; event type must have an event type classification of Automatic.
Event Description	Defaults to event description on billing extension.
Event Organization	Defaults to managing organization of project or task to which the event is assigned.
Completion Date	Accrue through date for events created during revenue generation, bill through date for events created during invoice generation.
Revenue Amount	For billing extensions called in revenue generation, must specify revenue amount. For billing extensions called in invoice generation, can optionally specify revenue amount; revenue amount is not processed until invoice on which the event is billed is released.
Bill Amount	For billing extensions called in invoice generation, must specify bill amount. For billing extensions called in revenue generation, can optionally specify bill amount; bill amount is not processed until revenue for the event is accrued.
Descriptive Flexfield Segments	Can pass any value as long as the value is valid with the descriptive flexfields you have defined for events.
Audit Columns in Events	For values used in billing extension calculations. NOTE: not displayed to the user, but available in the table. See: Insert events.
Table 1 - 115. (Page 2 of 2) Attributes of Automatic Events

Budget Attributes

Budget Attribute	Comments
Cost Budget Type Code	Defaults to Approved Cost Budget.
Revenue Budget Type Code	Defaults to Approved Revenue Budget.
Table 1 - 116. (Page 1 of 1) Attributes of Budgets