This screen allows you to:
Credit Memos are used to reduce vendor checks. Credit memos typically are used to reverse a previous payment to a vendor by reducing a future payment. The entry of a credit memo, once approved, generates a negative pending payable entry in the Accounts Payable System.
Before you begin:
There are a few settings in File Maintenance that impact credit memos. Payables Information, Screen 2 contains credit memo settings as well as General Accounting Screen 5. The Voucher Credit and Debit settings in the Vendor File should match the Vendor GL Credit and Debit account.
Go to the Accounting Menu and choose Payables, then select Credit Memos off the Payables Menu.
Prompt descriptions:
Enter credit memo key or description:
An existing credit memo can be retrieved by the key# associated with it when it was created. Typing in the exact description will also retrieve a credit memo.
Select existing credit memo by :
[Vendor] Click [Vendor] to look up a credit memo by the vendor on the credit memo.
[Invoice] Click [Invoice] to look up a credit memo by the invoice number. This is usually the invoice the vendor issued that was recorded on the work order and the credit memo.
[Unit] Click [Unit] to look up all credit memos associated with a specific unit.
[Work order #] Click [Workorder] to retrieve a credit memo by the specific work order it pertains to.
[Job code] Click [Job code] to look up a work order by the job code.
[All] Click [All] to retrieve a list of all the credit memos on file. A list of credit memos may appear. Select the one to work with by double-clicking it or highlight it and press <Enter>
Select [New] to begin entering a new credit memo.
Create new entry? [Yes] or [No]
Click [Yes] and a credit memo key will automatically be assigned.
Click [No] to quit entering a new credit memo.
Enter [Vendor] or [Select] from list:
Enter the vendor whose payment you want to reduce or select from a list of vendors. This entry determines the account to debit by using the debit account from the vendor’s record in the Vendor File. The vendor must be entered in the Vendor File.
Enter Amount:
Enter the dollar amount for the credit memo or the amount the payable should be reduced by.
Enter opposing GL account number or [Select] Credit Account from list of GL accounts.
Put the account that will be credited when the credit memo is processed. Click [Balance] if just one account is used. Enter the amount to credit more than one account.
Description:
Enter the description that needs to appear on the owner statement if applicable.
Vendor Invoice#:
Enter the vendor invoice number from the bill related to this credit memo.
Invoice Date:
Enter the vendor invoice date. This date may be used to look up the credit memo later.
Operator:
Enter operator’s initials. This is a required field.
Unit Number:
Enter the unit number referenced in the work order. This is required if the credit memo is to appear on an owner statement.
Work Order #:
Enter the work order number the vendor invoice refers to.
Comment:
Enter a note in the comment area, not required. The comment appears on the check stub of the vendor payment the credit memo is issued against.
Job code:
Enter the job code. This entry is not required.
Process by date:
Enter the date to process the credit memo.
Due by date:
Enter the date the credit memo is due.
Company Account:
Enter the Company Account number. If this information is stored in the vendor file it will enter automatically.
Click [OK] to save the credit memo.
Click [Cancel] to quit entering the credit memo.
Click [Delete] to delete a credit memo that has been created. The status must be "entered" in order for the record to be deleted. An approved credit memo creates a payable and cannot be deleted.
Click the [Show] button to view the credit and debit accounts the credit memo will be distributed to.