Telecommunications

Premium Rate / Shortcode Revenue (Revenue Share)

Recording the telecom's share of revenue from premium rate SMS or voice services.

Account NameTypeDebit ($)Credit ($)
Premium Rate ReceivableAsset (+)5,000.00-
Premium Rate Revenue (Net Share)Revenue (+)-3,500.00
Content Provider Payable (Revenue Share)Liability (+)-1,500.00

💡 Accountant's Note

The telecom acts as billing agent for premium services. Only the operator's revenue share (net of the content provider's share) is recognized as revenue. The content provider's share is a payable.

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