Hi. Our company has ARM enabled but the revenue recognition setup is messed up. For deferred revenue report, we currently export SOs from netsuite and have the Deferred Revenue done in Excel since NS report is not reliable. We do monthly adjustments in NS by creating deferred revenue JEs monthly in order for NS to return the same amount as our manual report. We would want to clean NS for us to be able to rely on it. Will our adjustment deferred revenue JEs have any impact on our cleanup? Where should we start with our cleanup? Will appreciate any feedback. Many Thanks!

I’m sure there is some impact, but precisely what/how/when...well, it’s just a cleanup activity that you likely expect to have... ARM can be confusing, even for some CPAs because there’s system accounting involved beyond just debits/credits. First step is to assess where you’re at...hope you have a sandbox. 1. The ARM config should be assessed. 2. The population of data to all the records>fields required for your configuration needs validated. Starts at the item or rev rec rules depending on your preference of how you want to view the world... Grab an ARM experienced consultant and you’ll get there much faster. If you just can’t do that...theres a manual.

I would take the following steps: 1. Configure ARM in sandbox and test it 2. Put all Production revenue arrangements with status "in progress" or "not started" on hold. These will be processed manually (Via JEs) 3. Bring over the correct configuration from sandbox to production 4. All new transactions should use the correct setup. If the system revenue arrangements have not been used, you can choose to delete them and recreate them. (please test this approach in SB first)