How do you handle prepayments when items are being specially ordered for customer and he is obliged to pay the item beforehand? Need to link the payment to the sales order (SO) but not post the SO yet since there is no qty in stock. Similarly, how would prepayment be submitted and associated it with purchase order (PO)? These are the questions, answered in this tutorial.
Procedure for submitting a prepayment for a PO
Create a payment voucher for EUR 1000/- as credit entry in AP> Payment journal:-
Mark this voucher as prepayment in Payment tab and post the voucher:-
Through PO header > Functions > Open transaction editing, settle the prepayment voucher by check marking the voucher. Press Yes when prompted for prepayment settlement:-
Procedure for receiving a prepayment for an SO
Now for AR > SO, we need to create payment journal voucher with a debit entry of EUR 1000:-
Mark it as prepayment in Payment tab:-
Open transaction editing form from Functions of SO header:-
Mark the prepayment voucher for settlement and close the form:-
