Contract Main Tab

The New Contract Specification window, Main tab, includes the following information.

Contract Information
SKU	A unique identifier used to define the contract. (Maximum characters = 20.)
Description	The name of the contract.
Alias	Provides a way of linking products to the products of another system. Note This field can contain up to 50 characters.
Alt. Invoice Desc.	An alternate name that can be displayed on the customers' invoices. Maximum number of characters = 50.
Contract Duration	The length of time the contract is to be in effect. Used in conjunction with Duration Type.
Auto-Renew	If checked, sets the default for the contract to Auto-Renew. Once the contract is assigned to a customer, the contract will be renewed automatically for that customer upon expiration of the contract. This can be changed upon assignment to a customer or service.
Use with Price Matrix	If checked, the the Contract is displayed in the Contract SKU drop-down list of the Price Matrix. See Adding/Editing a Price Matrix. Note Price Matrix can only be associated with a Term Commitment contract.
FASB ASC 606 Eligible	Check this checkbox if the contract will apply in . FASB 606 eligible sales The ASC 606 revenue recognition standard was developed jointly by the Financial Accounting Standard’s Board (FASB) and International Accounting Standards Board (IASB). It provides a framework for businesses that enter into contracts with customers to transfer goods or services to recognize revenue more consistently. The IDI platform supports the sale of a service that involves items and conditions that make it applicable to the FASB ASC 606; specifically, a retail sale involving the activation of a monthly-billed service that includes retail-discounted equipment for acceptance of a contract. For example, a customer receives a $500 discount on a new handset by agreeing to the terms and conditions of a 2-year Contract. When these sales and FASB ASC 606-supporting conditions are met, the solution will capture and calculate the amount of the Contract Asset which will be used by Billing and General Ledger posting of the newly sold service. Contracts and Retail Discount Reason must be marked as eligible for use in FASB ASC 606 Eligible sales scenarios to support downstream billing and general ledger functionality. For further details, refer to the *FASB ASC 606 Revenue Recognition Standards* article in the IDI Billing Solutions Knowledge Center.
Duration Type	The Duration Type is used to help determine how long the contract is set up to last. Valid selections in the list are Years, Months, and Days.
Available Date	Enter or select the date that the contract is available for assignment.
Default Billing Status	The default Billing Status of the product when assigned to an account - Billing or Not Billing.
Discontinue Date	Enter or select the date the contract is no longer available for assignment.
Category	The Product Category used to group similar items, such as accessories or handsets, for accounting purposes.
Service Agreement	Select the Service Agreement that is associated with this contract, if appropriate.
Contract Term
ID	The unique identifier of the Contract Term.
Term	The type of Contract Term.
Value	The value of the Contract term.
Units	The units used for the Contract Term value.
Contract Penalties for the selected Contract Term
ID	The unique identifier of the Penalty.
Penalty Description	The name of the Penalty. Maximum number of characters is 50.
Amount	The monetary amount of the Penalty.
Calc. Type	The kind of calculation used to determine the Penalty.
Tax Class	The proper tax class assigned to the penalty charge. See Tax Class Definitions.