Settling supplier debits

You can settle a supplier debit in one of two ways:

■	Apply the debit to an unpaid purchase. Use this method to apply the supplier debit to one or more of your unpaid purchases from the supplier, or

■	Receive a refund. Use this method to record the receipt of a refund cheque from the supplier.

To apply a supplier debit to an unpaid purchase

1	Go to the Purchases command centre and click Purchases Register. The Purchases Register window appears.

2	Click the Returns & Debits tab.

3	Select Supplier from the Search By list. Enter the supplier’s name in the adjacent field. A list of debits for that supplier appears.

4	Select the debit you want to apply and click Apply to Purchase. The Settle Returns & Debits window appears, listing all open purchases that you have made from the supplier.

5	Enter the amount you want to apply to a purchase in the Amount Applied column.

If the Apply Supplier Payments Automatically to Oldest Purchase First preference is selected in the Purchases view of the Preferences window, amounts will appear next to the oldest purchase in the Amount Applied column.

You can apply the debit amount to any one transaction or you can split it over any of the transactions in the list. Remember that the total amount you apply in the Amount Applied column must equal the amount that appears in the Debit Amount field.

6	If you want to apply part of the supplier debit to any unpaid finance charges you have accrued, enter an amount in the Finance Charge field.

7	Click Record to apply the supplier debit.

If the transaction is unbalanced, that is, if the total amount entered in the Amount Applied column doesn’t equal the amount displayed in the Debit Amount field at the top of the window, a message appears. Click OK to close the message and then check that the amounts you have applied to the various transactions are correct.

To record a refund cheque

1	Go to the Purchases command centre and click Purchases Register. The Purchases Register window appears.

2	Click the Returns & Debits tab.

3	Select Supplier from the Search By list. Enter the supplier’s name in the adjacent field. A list of debits for that supplier appears.

4	Select the debit that is being refunded and click Receive Refund. A refund cheque for the amount of the supplier debit appears in the Settle Returns & Debits window.

5	Click Record to record the refund cheque.

Related Topics

■	Creating supplier debits