This FAQ-style session will cover the groundwork of Zuora’s Finance operations engine: accounting periods, GL segmentation rules, segmented journal entries, and more! We’ll share best practices when it comes to audit and compliance, as well as use cases relevant to a Zuora user in a Finance role.

2. ≈
Answers to Commonly Asked
Finance Operations Questions
Monique Romero
Finance and Revenue Advocate, Zuora

3. Can you reconcile
your month-end
close?

4. Do you understand the
Deferred Revenue report?

5. Can you even find the Deferred
Revenue report?

6. agenda
page
06
review frequently asked
questions for finance
review frequently asked
questions for straight lined
revenue recognition

7. straight line revenue
recognition
page
07
No revenue from Contracts!! This does not
apply to ASC 606 regulations
Revenues earned when goods/services are
transferred/rendered
Seller’s price to the buyer is fixed or
determinable
Collectibility is reasonably assured

8. reasons to use zuora finance
page
08
01Billing for complex
pricing 04
Trial balance at any point in
time to summarize
transactions
02Financial periods align
to your GL System 05
Accelerate your ACP and
import into your GL System
03Chart of accounts align
to your GL System 06
Review reports for Financial
Statements

9. reasons to use zuora revenue recognition for straight lined
revenue
page
09
01Flexible Revenue Recognition
Automation 04
Revenue Schedule
Management
02Configurable Recognition Rules
05
Deferred and Earned
Revenue Reporting
03Built-in subscription lifecycle
awareness 06Revenue Audit Tracking

10. What is the best practice for separation of duties ?
page
010
configure user roles in the admin
settingsuser roles can be configured so certain users have access to process
specific transactions such as: deleting invoices, processing invoice item
adjustments, changing revenue schedules, creating chart of accounts,
running the accounting close process, updating customer accounts
assign the user role to the
userthe managed users section in the admin settings will list all users, which you
can then assign the user role for each role such as finance, payments, billing,
etc

11. admin settings: creating user roles and assigning to a user
page
011

12. ● ~ you can create and edit accounting periods in the UI (under
Finance->Accounting Periods)
~ you can query and create accounting periods using the API
how do I create my accounting periods?
page
012

13. How do I configure my aging buckets?
page
013
Aging buckets are configured in admin settings >
finance settings > configure aging balance settings
● the number of buckets and date ranges are
configurable
● negative date ranges are supported
● negative invoices can be included in the aging report
● there are two reports that can be used for the aging
report:
❖ accounting period > report will not be updated
after the trial balance is completed: aging will be
as of the end of the accounting period
❖ reporting tool > live report: aging will be updated
as customers make payments

14. admin settings > finance settings > configure aging
balance settings
page
014

15. accounting period report and reporting tool report
page
015

16. page
016
Watch the
Demo!
Let’s walk through
the user roles,
accounting
periods, aging
reports

17. can I run my trial balance any point in time?
page
017
yes!
the trial balance can be ran at any point in time
as long as the accounting period is open
● trial balance provides summary information for
billing, cash, credit balance and accounts
receivable aging
● we show you all transactions that need to be
fixed before closing the accounting period under
the actions needed tab

18. run trial balance
page
018

19. ● the trial balance must be ran to capture all transactions
● transactions that were cancelled, adjusted, deleted in zuora
must reflect in your GL system
● the journal entries must be completed in zuora and imported to
your GL system
why is my reconciliation not balancing?
page
019

20. how do I create my journal runs?
page
020
To create journal run, go to accounting
periods > journal run tab > select transaction
types and accounting period dates
• a journal entry in Zuora is a summary of all Zuora
transactions, such as account receivables, credit
balance adjustment, and revenue.
• the journal run auto-creates journal entry objects
from Zuora transactions.

21. why are there blank accounting codes in my journal
entries?
page
021
accounting codes for transaction type are not
configured. Go to finance settings > configure
accounting codes > select transaction type to update
recognized revenue accounting code is the
offsetting GL account to your accounts receivable
account
List of places to configure accounting codes:
➢ product rate plan charge
➢ invoice payment
➢ payment refund
➢ credit balance
➢ tax

22. page
022
Watch the
Demo!
Let’s walk through
the trial balance,
journal run, and
configuring
accounting codes

23. where is the revenue report
located?
page
023
the revenue report is located in the accounting
period > summary tab
● the report is a canned report and can not
be edited to add/remove fields
● the trial balance must be ran for the
revenue report to generate

24. why is the revenue schedule not created on my
invoice?
page
024
01
Revenue Automation Start
Date is not set
04
A Custom Revenue
Recognition Rule is used.
02
The transaction date (e.g.
invoice date) is before the
Revenue Automation Start
Date.
05
The transaction is a pre-
payment charge (or credit).
03
The transaction was created
before the Revenue
Automation Start Date is set. 06
Revenue Schedule is currently
being created.

25. can I change the revenue distribution?
page
025
Yes!
~ there is a distribute revenue button in
the revenue schedule which allows you
to change the amounts and dates
~ you can use mass updater tool to
distribute the revenue in different
accounting periods
★ the accounting periods must be open to
distribute revenue in the period

26. page
026
Watch the
Demo!
Let’s walk through
the Revenue
Recognition report,
revenue schedules,
distribute revenue

27. questions
?
page
027

28. thank you.