Acumatica ERP – Processing a Vendor Refund

Posted on: July 24, 2017 | By: Jim Bertler | Acumatica

Authored by: Brent Stabiner

 

When a company receives a vendor refund, it has to create and process the vendor refund document in the system. The vendor refund increases the balance of the cash account. In the system, there will be an open debit adjustment or prepayment for which the refund is received. Then the vendor refund document is created and applied to the open debit adjustment or prepayment.

 

Suppose that on 3/2/2014, MyCompany received a $10 cash refund from OfficeSuppliesCo for a portion

of damaged office supplies returned to the vendor. In this step, a user will process the vendor refund in the system by performing the following tasks:

 

Create and Release the Debit Adjustment for the Damaged Goods that were Returned:

1. On the Bills and Adjustments form (AP301000; Finance – Accounts Payable – Work Area – Enter), create a new document with the following information:

• Type: Debit Adj.

• Vendor: V000000001 (OfficeSuppliesCo)

• Date: 3/2/2014

• Vendor Ref.: 03022014Refund

• Description: Damaged office supplies returned

• Amount: 10.00

• Document Details tab, Ext. Cost: 10.00

• Hold: Cleared

 

2.  Save the debit adjustment, and then release it.

 

Create the Vendor Refund Document:

1. On the form toolbar, select Actions à Vendor Refund. The Checks and Payments form (AP302000) opens so that the vendor refund document can be created from the information specified in the debit adjustment. On the Documents to Apply tab, you can see the debit adjustment, which has been automatically specified in the vendor refund.

 

2.  Because the vendor made the refund by cash, change Payment Method to CASH.

3.  In the Payment Ref. box, type 03022014Refund.

4.  Set the Application Date to 3/2/2014, clear the Hold check box, and click Release to release the vendor refund.

 

When the refund is released, the system updates the current balance of the vendor and generates the batch that posts the refund amount to the specified cash account. The system closes the vendor refund and debit adjustment documents.

 

5.  On the Financial Details tab, click the number of the generated batch to open the batch for review. The first journal entry debits the 101000 (Cash on Hand USD) account specified in the vendor refund for $10. The 200000 (Accounts Payable) account is credited for the same amount.

 

 

For further inquiries, contact Logan Consulting, for your free consultation now! Logan Consulting is a Gold Certified Partner offering services in Illinois, Indiana, Wisconsin, and throughout the United States.

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