> ## Documentation Index
> Fetch the complete documentation index at: https://docs.royaltyport.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Accounting

> Extraction of accounting periods, payment terms, and audit rights

<Info>
  Structured data fields are by definition an abstraction of legal language. When in doubt, use [citations](/projects/contracts/contract-details/citations), the [AI chat](/projects/ai-chat), and the actual contract text to validate the structured data against your own interpretation.
</Info>

## Overview

The Accounting extraction captures financial reporting terms, payment schedules, and audit provisions.

## What Gets Extracted

| Field                   | Description                                                   |
| ----------------------- | ------------------------------------------------------------- |
| Accounting Period       | Reporting frequency (Monthly, Quarterly, Half-yearly, Yearly) |
| Payment Period          | Time after statement before payment is due                    |
| Reporting Delay         | Time after period end before statements are due               |
| Payout Threshold        | Minimum balance before payment is issued                      |
| Cross Collateralization | Whether unrecouped balances can be offset across agreements   |
| Audit Rights            | Whether and how audits can be conducted                       |

## Field Details

### Accounting Period

How often royalty statements are issued:

* Monthly
* Quarterly
* Half-yearly (semi-annual)
* Yearly

### Payment Period

Time allowed for payment after statement receipt:

* Example: "30 days", "45 business days", "60 days"

### Reporting Delay

Grace period for preparing statements:

* Example: "90 days after period end"

### Payout Threshold

Minimum accumulated balance required before issuing payment:

* Example: "\$100 USD", "€50 EUR"
* Amounts below threshold carry forward to next period

### Cross Collateralization

| Value | Meaning                                                                          |
| ----- | -------------------------------------------------------------------------------- |
| Yes   | Unrecouped balances from one agreement can be recovered from earnings of another |
| No    | Each agreement is accounted for separately                                       |

### Audit Rights

If audit rights exist, the extraction captures:

* How many years back audits can cover
* Notice requirements
* Who bears initial audit costs
* Penalties for discrepancies found

## Editing Accounting

Click the edit icon to:

* Modify accounting periods
* Update payment terms
* Correct threshold amounts
* Add audit conditions