Sales Deposits

14.12.1 Recommended way to process Sales Deposits if pc/MRPs accounting module is used (Auto-accounting on or off)

Create the Sales Order as an Order Entry Sales Order:

1. Create a sales order line item 0001 for the product, e.g. Bicycle, quantity 10 for $50,000.00.

2. Create a sales order line item 0002 for part “NA” for the deposit, say $10,000.00.

3. Create a sales order line item 0003 for part “NA” for a negative deposit, -$10,000.00.

Create an invoice for the deposit:

1. Create an invoice for line item 002 for $10,000.

Post the $10,000.00 deposit invoice:

1. Enter an ‘O’ type accounting transaction for line item 0002

2. Credit Sales Deposit (liability credit account), for $10,000. Instead of Business Income.

3. Debit Accounts Receivable account, for $10,000.00.

When you receive the deposit for line item 0002:

1. Enter a ‘R’ type accounting transaction for line item 0002

2. Credit Accounts Receivable, for $10,000.00.

3. Debit Checking account, for $10,000.00.

4. Print out the invoice; it will show the amount paid as $10,000.00.

Build the product in line item 0001:

1. Enter an ‘I’ type stockroom transactions to issue parts to WIP.

2. Enter an ‘R’ type stockroom transaction to receive the finished product into stores.

Create the second invoice, this time for line items 0001 & 0003:

1. Enter an ‘O’ accounting type transaction for line items 0001 & 0003.

2. Credit Business Income (Sales), for $50,000.00.

3. Debit Sales Deposit (Liability account), for $10,000.

4. Debit Accounts Receivable., for $40,000.00.

When you receive payment for line items 0001 & 0003:

1. Enter an ‘R’ type accounting transaction for line items 0001 & 0003

2. Credit Accounts Receivable, for $40,000.00.

3. Debit Checking account, for $40,000.00.

14.12.2 If pc/MRP's accounting module is not used

If the sale is on account and carry:

1. Enter the sale as on account and carry

2. Note the deposit amount in the comment field

3. Edit the invoice, enter the deposit into amount paid field

4. Print out the invoice, it will now show the amount paid

5. When a payment arrives edit the invoice, add the amt to the amt pd

6. If the invoice is paid in full enter a Y into the complete field

If the sale is an order entry for delivery in future:

1. Enter the sale as order entry

2. Note the deposit amount in the comment field

3. Invoice the sales order when item is ready to ship

4. Edit the invoice, enter the deposit into amount paid field

5. Print out the invoice, it will now show the amount paid

6. When a payment arrives edit the invoice, add the amt to the amt pd

7. If the invoice is paid in full enter a Y into the complete field