1. In the Search box, enter Service Contract Quotes, and then choose the related link.

2. Open the relevant service contract quote you want to convert to a service contract.

3. On the Home tab, in the Process group, choose Make Contract.

4. If the starting date of the contract is before the beginning of the next invoice period, you are asked if you want to create an invoice for the starting period of the contract. Choose the Yes button to confirm.

   A service contract is created with the status Signed. If a service invoice is created for the starting period of the contract, the invoiced amount is calculated in the following way, depending on whether the contract is detailed or not.

   • For detailed contracts, the invoiced amount is calculated as follows:
     
     • Invoiced amount = sum of the invoiced amount for each contract line.
       
     • Invoiced amount for each contract line = ((quote value ÷ 12) × number of months in the starting period) + ((quote value ÷ number of days in the year) × number of days left in the starting period).
       
     If the contract line expires before the starting period ends, the expiration date becomes the ending date of the starting period for the line.
     
   • For contracts that are not detailed, the invoiced amount is calculated as follows:
     
     • Invoiced amount = (annual amount ÷ number of days in the year) × number of days in the starting period.
       
     If the contract expires before the starting period ends, the expiration date becomes the ending date of the starting period.
     

The service invoice is posted to the service account of the contract, even if the contract is prepaid.

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