Recon. account not defined for customer &1 of company code &2

What causes this issue?

Revenue Accounting cannot find the reconciliation account defined for
customer &V1& of company code &V2&. The system requires this account for
determining the accounts used for certain revenue-related postings.

System Response

The system prevents the performance obligation and its contract from
being created or updated. The contract is listed in the Contracts with
Errors worklist for review.

How to fix this error?

Make sure that the reconciliation account is defined in the company code
segment of the customer master record.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.