Any income can be classified as revenue. Revenue accounting is used in companies to determine different type of revenue to be calculated. Revenue used for compliance and reporting purposes. Companies are bound by law to follow compliance and accounting principles to be considered. Public companies are bound by SEC law. SEC stands for U.S Security and exchange Commission. SEC was formed to protect investors.
Please find additional information about SEC at https://www.sec.gov/about.shtml
In SAP account determination setup based on condition technique. In condition technique we start with table then use the table into access sequence and use the access sequence into condition types. All of the condition type used on procedure and based on this we create a condition record.
KOFI is an account determination condition type used for make to stock or non-make to order scenarios. In variant configuration we have account determination based on KOFK account determination. In KOFK we have controlling object linked for costing. Accounting condition type determine GL account. Based on GL account all of the posting post against that GL mapping. Pricing is essential component for revenue account determination. Each pricing condition type associated with account key and this account key used on account determination.