Subsequent Debits/Credits are used in cases where the quantity is in the original invoice is to remain the same.
Example:
PO 10 - $10
GR 10 - $10
LIV 10 - $11 (Logistics Invoice Verification)
The vendor invoice is more than that in the Purchase Order.
In order to correct, the Vendor may send in another invoice for the Increased amount
or a credit memo for the reduce amount.
If you approve of the price increase,
post the subsequent invoice received as a Subsequent Debit Invoice.
If it is a credit memo that has been received for reducing $1 of invoice price,
then post the credit memo as Subsequent Credit.
This would retain the quantity but reduce the amount.
Subsequent Debit/Credit is for the case when the credit is not for the full amount
eg. if the Vendor decided to credit & only the $1 overcharged.
Credit memo is for the credit of the full amount and value.
2 comments:
I wonder how the process works for posting a subsequent credit on a service entry sheet. I posted one of which amount does not be shown in ME2S as a reduction. In ME2L, the amount which was credited, is shown as to be invoiced.
Good article Thanks for sharing informative Post about credit/debit cards
CSEC online bill payment
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