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Accounts Receivables System Administrator Define Responsibility for Accounts receivables Path: Security responsibility Define Responsibility Name – RMV Trucks AR manager Application – Receivables Responsibility Key – RMV Trucks AR Manager Data Group Name – Standard Application – Receivables Menu – AR_Navigate_GUI Request Group: Name—Receivables All Save. And close.

Accounts Receivables

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Page 1: Accounts Receivables

Accounts Receivables

System Administrator

Define Responsibility for Accounts receivables

Path: Security responsibility Define

Responsibility Name – RMV Trucks AR manager Application – Receivables Responsibility Key – RMV Trucks AR Manager

Data Group Name – Standard Application – Receivables Menu – AR_Navigate_GUI

Request Group: Name—Receivables All

Save. And close.

Page 2: Accounts Receivables

Assign Profile options to AR Responsibility.

Profile Options:

Path: Profile System

GL Ledger name – RMV PL MO Operation Unit – RMV Trucks OU HR Security profile – RMV BG HR User type – HR with payroll

Profile Option:

GL Ledger Name

Save and close.

Page 3: Accounts Receivables

Profile Option

MO Operating Unit

Save and close.

Profile Option;

HR Security profile:

Save and close.

Page 4: Accounts Receivables

Profile Option:

HR User type:

Save and close.

Page 5: Accounts Receivables

Run Replicate seed data

Request RunOK

Page 6: Accounts Receivables

Name – Replicate seed data Operating unit – RMV Trucks OU Once you enter the above information click on OK

Page 7: Accounts Receivables

Click on Submit Click on NO

Click on Refresh data tab, till the program completes successfully.

Page 8: Accounts Receivables

Add this responsibility to User

Security UserDefine

Query your User (F11). Assign this responsibility to user.

Save & Close.

Page 9: Accounts Receivables

SWITH TO AR RESPONSIBILITY

ASSIGN SYSTEM OPTIONS

Set up System System Options

In Accounting Tab

Pick up Ledger – RMV PL

Allocate accounts with code combinations Realized gains account – 001.000.000.7842 “ Exchange rate variance gain” Realized losses account – 001.000.000.7842 “ Exchange rate variance lose” Tax Account – 001.000.000.7710 “ Sales Tax” Days per posting cycle – 35

Page 10: Accounts Receivables

Click on Trans and customers Tab

Page 11: Accounts Receivables

Click on Claims TAB

Page 12: Accounts Receivables

Click on Miscellaneous

Save and close.

Note: Once you assign the ledger, it’s not possible to replace it in system options.

Page 13: Accounts Receivables

TO SET RECEIVABLES WE NEED TO HAVE THESE DETAILS ARE MANDATE.

12.1.1

TCA

Customer

Customer no

Customer Name

Customer account

Customer site

Bill TO

Ship TO

Statement

Dunning site

Invoice

Drawee

Legal

Page 14: Accounts Receivables

Note: In 11i the customers are defined:

Customer Account

Customer SitesEach customer can have more then one sites

Customer site:

Ex: Oracle India

Account oracle Hyderabad

Account Oracle Bangalore

1st account Oracle Hyderabad will have location of more then 1 in Hyderabad (the address of the oracle in Hyderabad different address is called sites)

Bill To:

Any of given customer should have at least one bill to address(Mandate)

Ship – To:

Ship to is created sending goods n as specific address.

Statement:

To send a weekly or monthly statements the address should have mentioned.

Dunning site (Its an remainder letter site):

If an customer is not making payment we use to send a reminding letter, even though if customer is not making payments

Again when he is sending a letter again as BOLD Letter is called dunning and sent to dunning site

At the same time you can use it to promotional activities.

Drawee Site:

Customer can receive Bank Guarantees only when he have drawee site.Legal Site:If the customer is not responding any issues you can send legal notices to given legal sites

Page 15: Accounts Receivables

PROFILE CLASS

Profile class is used for the classification of the customer as good or bad, excellent, extraordinary based on the credit profile, late charge profile autocash rule set, payment terms.

PROFILE CLASS

COLLECTORS

AUTO CASH RULE SET

STATEMENT CYCLE

PAYMENT TERMS

LATE CHARGE PROFILE

CREDIT PROFILE

Page 16: Accounts Receivables

1. DEFINE COLLECTORS / SALES PERSONS

PATH: Setups collections collectors

Collectors are the employees or third party agents who are responsible for collecting the money from customers.

Enter the sales person or employee name or third party agent name If the person is belongs to third party agent then enter his name under

correspondence Name. If the person is an employee then define it in under employee Name.

Save and close

Page 17: Accounts Receivables

2. DEFINE AUTO CASH RULE SET

Auto cash rule set is determine the rules how to apply a receipt to the transactions of a customers.

The Rules Are:a. Apply to Oldest firstb. Clear past due invoicesc. Clear past due invoices by dated. Clear the account

Note: These rules is in which order we want to assign tt to a transactions, and we can define the rules as based on the requirements.

Example:

Opening balance calculations:a. OLD Invoice – 50,000b. Past Due Invoice – 25000c. Current Invoice – 25000

_______ 100,000 _______

If I create a receipt of rs 60,000, then it should applicable to old invoice 50,000, and remaining amount will be applicable to past due invoices – 10,000.

The Remaining amount will be applied (15,000+25,000) of remaining amount will be applicable to Clear Invoices.

Discounts:Discounts Finance charges

a. Old Inv – 50,000 2500 1500b. Past Due -- 25000 1500 1000 If Due date

crossedc. Current -- 25000 1500 – Earned Discounts.

Opening Balance Calculations:

a. NONE: If you select the none option the discounts will not be applicable, th total opening balance is 100000.

Page 18: Accounts Receivables

b. Earned Discounts: If the customer pays money in with in due date and if he is eligible to the discounts then the total amount (Opening balance is -- 98500)

In Case customer paid the 100,000. (then the amount of (receipt) will be created to 100,000 + 1500)

c. Unearned & Earned discount: When you select this options, if customer is eligible to (5500 – discounts) the opening balance is – 94500.

d. And When you create receipt your can create Rs – 105500.

Finance Charges: If you enable this option it will also select finance charges in the opening balances.

This case if customer pays 50,000, then it will be added to earned & Un earned (5500+50000) applied to opening balance of 100,000 +2500(Finance Charges) = 102500 – 5500 = 97000.

Item in Dispute:

If any invoices an issued due to payments (Damaged goods, (or) payments ins not made) we will hold the invoice an Dispute

Example:

Total Opening Balance -- 100,000(-) Dispute items -- 5,000

________ 95,000

(+) Finance Charges -- 2,500________ 97,500

If you have Enabled Earned & Unearned.

If Customer Pays amount of -- 50,000(+) Earned and Un Earned -- 5,500

__________ 55,500

The Receipt Amount of 55,500 is applicable to opening balance of 97500.

Why do we have to set Auto Cash Rule:

Here we are not manually applying receipts (or) the payments are received from the customer automatically so we need to define them as properly.

Page 19: Accounts Receivables

Remainder remaining remittance amount:

After payment by customer if any amount pending we will take it as.

a. UN Appliedb. ON Account

Un Applied:

A particular transaction (Temporary account we are taking and in later we will be applied to other invoices.)

If customer is not created any transactions we can refund those amount.

On Account:

When the customer is regular customer when we are going to send statement regularly (or) often.

Note:Example:

In a Credit card customer pays excess amount of 1000 rupees in what he is used.

We are taking 1000 rs as ON Account

Next month when he do transaction of 4000, here we are sending the bill value is (4000-1000) – On account = 3,000 Rupees.

Page 20: Accounts Receivables

PATH: Setup Receipt Auto cash rule set

Name – RMV Trucks Auto cash Description – Rmv trucks auto cash rule set

Discounts – Earned and unearned Remaining remittance amount – Unapplied

Under Auto cash rule set Seq Auto cash rule

1 Apply to the Oldest Invoice first2 Clear past due invoices3 Clear past due invoices grouped by payment term4 Clear the account.

Enable Active Item in dispute Finance Charge Apply partial receipt

Save & Close.

Page 21: Accounts Receivables

3. DEFINE STATEMENT CYCLE

Setup Print Statement cycle

How often you want to sent statements to your customer.

Provide required details Name – RMV Trucks statement cycle Description – RMV Trucks Statement Cycle Interval – Monthly (you can select interval of statement by monthly quarterly or

weekly)

Pickup cycle datesOperation Unit Statement dateRMV Trucks Ou 22-Nov-2010RMV Trucks OU 22-Oct-2010

Save & CloseTo Run Print doc Statement

Page 22: Accounts Receivables

4. DEFINE PAYMENT TEMS

Payment terms are used to schedule the invoice for payments.

a. Allow discounts on partial payment: If you enable this option then only system calculate and allow you to calculate

discount

b. Prepayment: Before shipping the goods from customer, hear we have not created transaction

because, the goods are once shipped then only we can prepare transaction, So hear we have received the amount we can consider prepayment only once we

can match with sales order.c. Credit Check: Before scheduling to shipping customer has ordered 125,000, but customer has

limits as on date rs 100,000, if you enable here this option if will check the credit limit then it will not allow you to create a transaction.

Page 23: Accounts Receivables

Path: Setup Transaction Payment terms

Name – RMV Trucks PT Description – Rmv Trucks Payment terms

Enable Allow Discount on partial payments Prepayment Credit check

Base Amount – 100(ex: if 75% above – schedule for installments, remaining 25% as advance)

Discount – Invoice Amount/lines only Effective dates – 22-oct-2010 Print Lead Days – 2(2days maturity upcoming) Installment Options – Include tax and freight in first installment

In Payment schedule

Seq relative amount due date1 50 302 50 20

Save

Once you enter above information then you can Save

In above screen,

Page 24: Accounts Receivables

Select Seq 1 and click on Discounts

Give the discount percentage and enter the days of eligible for discounts.

Save and close.

Page 25: Accounts Receivables

Click on Seq.2 and click on Discounts

Page 26: Accounts Receivables

Give percentage of eligible days and provide discount eligibility.

Save and Close.

Page 27: Accounts Receivables

5. NOW DEFINE PROFILE CLASS

Path: Customers profile class

Name – RMV Trucks good customer Description – RMV Trucks Good customer

Terms Payment terms – RMV Trucks PT

Enable Allow Discount Override terms

Collectors Name – Nandu

Statements and dunning Enable

Send Statement Send credit balance Send dunning letters Cycle – RMV Trucks ST cycle

Receipts Match receipts by – Transaction Number Auto cash rule set – RMV Auto cash rule set Remainder rule set – Rmv auto cash rule set Auto Receipt include dispute items: If you enable this autoreceipt you can include

dispute items. Tolerance—0(Optional) (ex:5, if any amount credit limit if he exceed up to 5%,

customer can go up to 5% tolerance, and interest will be charged)

Page 28: Accounts Receivables

Click on Profile class amounts (tab)

Under currency – INRCurrency Rate and limits – Credit limit – 100000 Order credit limit -- 100000

Save and close.

Page 29: Accounts Receivables

6. NOW DEFINE CUSTOMER

FOR WHICH WE NEED OT HAVE TCA(TRADING COMMUNITY ARCHITECHTURE )

DEFINE TCA RESPONSIBILITY

Switch to system administrator

Security responsibility define

Enter required details as shown in below screen.

Save and close

Page 30: Accounts Receivables

Assign profile Options to this responsibility

Responsibility – RMV TRUCKS TCA MANAGERProfile Options:

General ledger name – RMV PL Mo Operating Unit – RMV Trucks Ou Hr Security profile – RMV BG Hr User type – Hr with payroll

Run Replicate seed data for this responsibility

Request Run Single request

Name – Replicate seed data Operating Unit – TCA Trucks AR

Ok Submit View request Refresh

Assign this responsibility to user.

Security User Define

Save and close.The Customers are Defined as

Page 31: Accounts Receivables

Customers

Persons Organizations Group of Organizations

HCL1 HCL2 HCL3 HCL4

Suppliers are not in part of TCA In TCA it’s called only Customers. Switch to RMV Trucks TCA manager

Page 32: Accounts Receivables

TO SET RECEIVABLES WE NEED TO HAVE THESE DETAILS ARE MANDATE.

12.1.1

TCA

Customer

Customer no

Customer Name

Customer account

Customer site

Bill TO

Ship TO

Statement

Dunning site

Invoice

Drawee

Legal

Page 33: Accounts Receivables

Note: In 11i the customers are defined:

Customer Account

Customer SitesEach customer can have more then one sites

Customer site:

Ex: Oracle India

Account oracle Hyderabad

Account Oracle Bangalore

1st account Oracle Hyderabad will have location of more then 1 in Hyderabad (the address of the oracle in Hyderabad different address is called sites)

Bill To:

Any of given customer should have at least one bill to address(Mandate)

Ship – To:

Ship to is created sending goods n as specific address.

Statement:

To send a weekly or monthly statements the address should have mentioned.

Dunning site (Its an remainder letter site):

If an customer is not making payment we use to send a reminding letter, even though if customer is not making payments

Again when he is sending a letter again as BOLD Letter is called dunning and sent to dunning site

At the same time you can use it to promotional activities.

Drawee Site:

Customer can receive Bank Guarantees only when he have drawee site.Legal Site:If the customer is not responding any issues you can send legal notices to given legal sites

Page 34: Accounts Receivables

TO DEFINE CUSTOMER

Trading community Customer Standard

Click on Create

Page 35: Accounts Receivables

Organization name – RMV Trucks CustomerProfile Class – Default (Bug in R12.1.1 when you are saving customer system automatically saves default one, so it’s not a mandate to select the actual profile class on this stage)

Scroll down on the same pageEnter Account address in below screen.

Page 36: Accounts Receivables

Scroll down on the same pageIn Account site details

Operation Unit – RMV Trucks Ou (hear if system picking and showing your operating unit then your setups will be right so for, other wise need to cross check once again our setups in TCA)

Under Business purposes Click on Add another row (in here if you want select any of your business

address of bill to ship too, dunning, legal , marketing , statement, what so ever we need to pick it up from here )

For Time being click on Add another row And pick up – ship too Select One address as primary either bill to or ship too address Enable the primary based on your requirements. Neither for bill to nor ship to

Click on Save and add details

Page 37: Accounts Receivables

Click on Account profile Tab

Select profile class which you have defined or which you want to apply to this customer

Profile Class – RMV Trucks good customer Profile class

it will take you to allow change in profile class for this customer.

Page 38: Accounts Receivables

Click on Yes to change profile class to this customer which you selected.

We need to change profile class in customer site level too, it’s mandate, if you are not going to change profile class in customer site level then this profile class or payment terms will not be applicable to this customer

Click on Site (Tab)Click on Details (ICon)

Page 39: Accounts Receivables

Click on Profile (TAB) to change profile class in your site level.

Click on yes to change selected profile class to apply in your customer site level.

Page 40: Accounts Receivables

Change your profile class in below screenProfile Class – RMV Trucks Good customer

Click on Yes

Page 41: Accounts Receivables

Now in below screen you can find the profile class which has been updated

Click on Apply Apply (customer has been created successfully)

Page 42: Accounts Receivables

SWITCH TO AR RESPONSIBILITY

Page 43: Accounts Receivables

7. DEFINE REMIT TO ADDRESS

Path: Set up Print Remit – to address

Search it for India and click on GO If you found your remit to address suites to your requirements you can select it

Other wise you can click on Create Remit – to Address. (Tab)

Enter Remit –to address details as required by you.

Click on Apply

Page 44: Accounts Receivables

Select as India in search box Click on GO Click on Create in receipts From

Select the receipt from criteria where you are receiving receiptsCountry -- India, and click on apply

Page 45: Accounts Receivables

If you want to create any more receipts fromClick on Create again

Have been selected receipt from criteria

Country -- China State – Beijing and click on apply

Click on apply

Page 46: Accounts Receivables

Click on Apply.

Page 47: Accounts Receivables

DEFINE AUTO ACCOUNTING

Auto Accounting is a feature is used to generate account code combination for the account required to create journal entries for transaction these code combination are generated based on constant and table reference.

Each code in the combinations can be derived segment from the different places based on payable reference or constant

The Code combinations should be for code combinationa. Customer siteb. Sales personc. Transaction type

ReceivablesCustomer Transaction type Sales person01.01.01.01.1210 TT1 001.02.01.2740 SP1 01.02.02.228002.01.02.03.1140 TT2 02.03.02.2280 SP2 02.01.01.229003.02.03.04.1150 TT3 03.06.03.2250 SP3 03.03.03.2270

AUTO ACCOUNTING

RECEIVBALES

Table Constant

Company Site

Division TT

Department SP

Account Site

TT

C1 SP1

101

Receivables – 01.02.03.1120

C1

101101

Page 48: Accounts Receivables

TT1

C1 SP1

101

Receivables – 01.02.03.1150

Path: Setup Transactions Auto Accounting

C1

101

Page 49: Accounts Receivables

Here We need to define Auto Accounting For

Receivables Revenue Tax

Defining Auto accounting for Receivables.

Operating Unit Type –Receivable Give constant code combinations as per your operating unit Constant – 001.000.000.1210(Accounts Receivables)

Save and close.

Page 50: Accounts Receivables

Click on down arrow or new tab on the same window to define Revenue.

Defining Auto Accounting for Revenue.

Operating Unit Type –Revenue Give constant code combinations as per your operating unit Constant – 001.000.000.5110(Cost of Sales)

Save and close

Page 51: Accounts Receivables

Click on the same window as New

Defining auto accounting for TAX Operating Unit Type –Receivable Give constant code combinations as per your operating unit

Constant – 001.000.000.7710(Sales Tax)

Save and close.

Page 52: Accounts Receivables

TRANSACTION TYPE

Define Transaction Type A transaction type is to determine transaction class to transaction status, accounts, and other preparations related to transactions.

Transaction Class are: Invoice Debit memo Credit memo Charge back Deposits Guarantee Bills receivables

For each Transaction class we can define one or more transaction type The Credit memo is always Negative sign

Set upTransactions Transaction type

Few guidance’s

Application Rule set: An application rule set is to determine how to apply a receipt to the transaction line of a transactions

Transaction line: Line item Tax Tax and line item.

Open Receivables : if you enable this you can update customer balancesPost to GL : Is a property determent whether to allow general ledger to transfer or not

Natural Application only : The receipt amount can’t exceed not more then your transaction amountEg: EMI, ECS

Allow adjustment posting: Exclude from late charge calculations: it transaction date exceeded ever the

exclude late payment charges Allow over applications: The receipt amount can be more then transaction.

Any one cab be allowed

Page 53: Accounts Receivables

Define Transaction type:

Transaction type are used to transaction class, status, to update customers balance, to transfer the gl or not and accounting information.

Path: Setup Transaction Transaction type Name – RMV Truck credit memo Description – RMV Trucks credit memo Class—Credit memo Creation sign – Negative sign Transaction Status – Open Printing Option – Print Application rule set – Line and tax prorate

Enable Open Receivable Post to GL Allow Adjustment posting Allow Over application Disable Natural applications only

Save

Page 54: Accounts Receivables

On the same window.Click on New icon /down arrow to process another transaction type for Invoices.

Define Transaction type -- Invoice Name – RMV invoice Class – invoice Transaction status – open Creation sign – positive sign Printing option – Print Application rule set – Line And tax prorate Start Date – 26-oct2010 Credit memo type – Rmv Truck Credit memo Terms – Immediate

Enable Open Receivable Post to GL Allow adjustment posting Allow Over application Disable – Exclude from late charges calculation

Save.

Page 55: Accounts Receivables

Click on New/click on down arrow on the same window

Define Transaction type -- Debit memo

Name – RMV DM Class – Debit Memo Transaction status – open Creation sign – positive sign Printing option – Print Application rule set – Line And tax prorate Start Date – 26-oct2010 Credit memo type – Rmv Truck Credit memo Terms – Immediate

Enable Open Receivable Post to GL Allow adjustment posting Allow Overapplication Disable – Exclude from late charges calculation

Save.

Page 56: Accounts Receivables

Click on New/click on down arrow on the same window

Define Transaction type--Deposits

Name – RMV DEPOSITS Class – Deposits Transaction status – open Creation sign – positive sign(Always positive sign) Printing option – Print Application rule set – Line And tax prorate Invoice type – RMV invoice Start Date – 26-oct2010 Credit memo type – Rmv Truck Credit memo Terms – Immediate

Enable Open Receivable Post to Gl Natural Application only Allow adjustment posting We are not allowed to enable Allow Overapplicaion option though this is deposit

transaction

Save.

Page 57: Accounts Receivables

Click on New/click on down arrow on the same window

Define Transaction type – Guarantee

Name – Rmv Trucks Guarantee Class – Guarantee Transaction status – open Creation sign – positive sign(Always positive sign) Printing option – Print Application rule set – Line And tax prorate Invoice type – RMV invoice Start Date – 26-oct2010 Credit memo type – Rmv Truck Credit memo Terms – Immediate Open Receivable Post to Gl Natural Application only Allow adjustment posting We are not allowed to enable Allow Overapplicaion option though this is

Guarantee transaction

Save and close.

Page 58: Accounts Receivables

DEFINE TRANSACTION SOURCE:

A Transaction source is to determine origin of the transaction and also transaction type and automatic generation of transaction number.

Path: Setup Transaction Source.Define Invoice – Source.

Name – RMV Trucks invoice manual Type – Manual Description – RMV Trucks invoice manual

Enable Active Automatic batch numbering -- Last Number – 0 Automatic Transaction numbering -- Last Number – 1000 (The last transaction

will create at 1001) Reference field default value – Interface_header_attribute1 Standard Transaction Type – RMV Invoice

Save.

Page 59: Accounts Receivables

Click on the new / drop down on the same window.

Define Credit memo -- source

Name – RMV Trucks credit memo source Type – Manual Description – RMV Trucks credit memo source Active Automatic batch numbering- Last Number – 0 Automatic Transaction numbering -- Last Number – 2000 (The last transaction

will create at 2001) Reference field default value – Interface_header_attribute1 Standard Transaction Type – RMV Trucks credit memo

Save.

Page 60: Accounts Receivables

Click on the new / drop down on the same window.Define Debit memo -- source

Name – RMV Trucks Debit memo source Type – Manual Description – RMV Trucks Debit memo source

Active Automatic batch numbering -- Last Number – 0 Automatic Transaction numbering -- Last Number – 3000 (The last transaction

will create at 3001) Reference field default value – Interface_header_attribute1 Standard Transaction Type – RMV Trucks Debit memo Credit Memo batch source – RMV trucks cm source

Save

Page 61: Accounts Receivables

Click on the new / drop down on the same window.Define Deposit -- source

Name – RMV Trucks Deposit source Type – Manual Description – RMV Trucks Deposit source Active Automatic batch numbering -- Last Number – 0 Automatic Transaction numbering -- Last Number – 4000 (The last transaction

will create at 4001) Reference field default value – Interface_header_attribute1 Standard Transaction Type – RMV Trucks Deposit type Credit Memo batch source – RMV trucks cm source

Save.

Page 62: Accounts Receivables

Click on the new / drop down on the same window.Define Guarantee -- source

Name – RMV Trucks Guarantee source Type – Manual Description – RMV Trucks Guarantee source Active Automatic batch numbering -- Last Number – 0 Automatic Transaction numbering -- Last Number – 5000 (The last transaction

will create at 5001) Reference field default value – Interface_header_attribute1 Standard Transaction Type – RMV Trucks Guarantee type Credit Memo batch source – RMV trucks cm source

Save and close.

Page 63: Accounts Receivables

OPEN RECEIVABLE PERIODS

Path: Control Accounting Open/Close periods

Page 64: Accounts Receivables

Select the period to be open under Status. Select Open Till the last period you need to open you can open it.

Save and close.

Page 65: Accounts Receivables

CREATE TRANSACTION

Path: Transaction Transaction

Enter Source, class, type, Enter Bill to address Payment terms

Click on Line Items

Page 66: Accounts Receivables

Num – 1 Description – enter the suitable description Quantity – 1 Unit price – 10,000

Save and close this window

Click on Complete Click on Tools Create accounting Create final accounting post to GL ok

Page 67: Accounts Receivables

View Accounting Events.

Path: Tools view accounting

To see Accounting entries

Receivables -------- DrTo Revenue

Page 68: Accounts Receivables

TRANSACTION WITH RULES (REVNEU RECOGNIGATION)

Transactions with rules are used when transaction is spread across one or more periods. The rules are:

Invoice rule Accounting Rule

Invoice rule:

Invoice rules are used to recognize receivable portion of transaction, the rules are In Advance, and In Arrear.

In Advance: In Advance will recognize in the first period of the transaction

In Arrear: In Arrear will recognize in the last period of the transaction.

Accounting Rules:

Accounting rules are used to recognize the revenue portion of the transaction

Types of accounting rules:

1. Fixed Schedules 2. Variables Schedules3. DRR (Daily revenue rate)

Fixed Schedules: Determine the no of periods % should equal to 100In Fixed Period 40%

30%30%

Variable Schedules: Not sure the no of periods will take, determine depending on specifications of customers.

100/No of Periods =%

DRR(Daily revenue rate): Depending on how many days left in the month.

Calculate as on days from Date to date

Total Transaction/No of Days = DRR

Page 69: Accounts Receivables

CREATE TRANSACTION WITH RULE:

DEFINE ACCOUNTING RULES:

Path: Setup Transaction Accounting Rules.

1. Defining Fixed Schedules rule with 3 period.

After selecting Type as Fixed schedules, pick up period(Calendar) And we need to pick Number of periods to be divided revenue -- 3. Percentage wise we can divide the distribution of revenue reorganization

Save

Page 70: Accounts Receivables

2. Define Accounting rule with Variable Schedule.

Type – Variable Schedule Period – MRF MON CAL Number of periods – 1

Here after picking Type as variable schedule, need to pick period and system will not allow us to entering number of periods required.

Save.

Page 71: Accounts Receivables

3. Define accounting rule of Daily Revenue rate, all periods

On the same page click on New icon / click on down arrow.

After picking type as daily revenue rate , all periods We need to pick period type too (Calendar) System will not allow you to enter number of period.

Save and close.

Page 72: Accounts Receivables

Define Unbilled Account and Un Earned account periods AT Auto Accounting.

Path: Setup Transaction Auto Accounting

Type – Unbilled Receivable Constant – 001.000.000.1232 (Un Billed receivable)

Save .

Page 73: Accounts Receivables

Click on New tab or down arrow to defining Un Earned revenue.

Type – Unearned Revenue Constant – 001.000.000.2550(Un Earned revenue)

Save and close.

Page 74: Accounts Receivables

Create a Transaction with accounting rules (MRF Fixed schedule in advance.)

Path: Transaction Transaction

Source – Mrf cars inv source Class – Invoice Bill to –Mrf Cars customer Invoice rule – In Advance.

Click on Lines

Page 75: Accounts Receivables

Enter Num – 1 Description -- suitable description, Quantity -- 1 Unit price -- 100000

Click on Rules Tab Pick up your accounting rule how you want to recognize the revenue/receivables Accounting – MRF CARS Fixed The duration automatically will pick here based on the accounting rule you have

been given.

Save and close

Page 76: Accounts Receivables

Click on Complete

Now we need to create accounting Click on Tools Create Accounting Create final accounting post to gl/Create final accounting ok You can see the entries would be created Based on how you want to create

account

View Account events

Page 77: Accounts Receivables

Path: Click on Tools View accounting

View accounting entries In below screen you can find the amount has been distributed as per your

accounting rule. The total receivables are recognized (in advance)in the first period of the

transaction – 100000 And Remaining revenue is recognized as per the accounting rule of MRF Fixed.

(40%30%30%)

Page 78: Accounts Receivables

If The accounting Invoice rule is In arrear

Create a transaction with invoice rule as IN arrear

Create a transaction with Invoice rule is as – In Arrear Enter line items Enter rule type is as – MRF Fixed Save and close Click on Complete Create accounting for this transaction View accounting entries

In Below screen you can see the receivables are recognized in the last period of the transaction – GL date – 30dec2010

Page 79: Accounts Receivables

Create a transaction with Variable schedules

Source – MRF Cars Inv source Class – Invoice Bill to – mrf cars customer Invoice rule – In Advance Click on line items

Page 80: Accounts Receivables

Enter the Num and suitable description and quantity and unit price and amount.

Click on Rules TAB Accounting – MRF Variable schedules Duration – you can pick up how many periods this transaction needs to spread. Pick up Start date and end date as per the requirement.

Save and close

Page 81: Accounts Receivables

Click on Complete Create accounting Tools Create Accounting Create final accounting post to Gl Ok

View AccountingPath: Tools View accounting

You can see the total receivables are recognized in the first period of the transaction. Because of invoice rule in Advance. Gl date – 30-oct-2010

And the remaining Revenues are recognized in 2 periods which we have been given as rule, to be spread in to two periods

Same process for Invoice rule – In Arrear(create a transaction with invoice rule with IN Arrear and view accounting events you can see the receivable portion would be recognized on last period.).

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Create a Transaction with DRR schedule

Transaction Transaction

Source – Sa Cars inv source Bill to – Sa cars new customer Invoice rule – in advance

Click on Line items.

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Enter Num, and suitable description, and quantity and unit price.

Click on Rule TAB Under accounting – SA Cars DRR schedules Start date – Today date End date – select here for more then one month. The duration would be selected automatically by system.

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Click on Complete.

Create accountingTools Create Accounting Create final accounting post to GL Ok

View Accounting Events.Tools View Accounting events

You can see here total receivables are recognized in the first period of transaction. And the revenue recognized as per the rule.

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EBT

Page 86: Accounts Receivables

CREDIT MEMO

Credit Memo is to decrease the customer balances.

The reasons for Credit memo are:

Sales return Price corrections Discounts ETC….

To Create any of Credit memo/Debit Memo/ Any others.

Create Transaction Type Create Transaction source Assign Transaction type to transaction source

Here I have been created Credit memo type and source already.,, but for reference coping the screen shots here-in.

Path: Set up Transactions Transaction Type

Save

Page 87: Accounts Receivables

For Source

Setup Transaction SourceSource too copied from earlier defined one.

Save and close.

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For Creating Credit memo to decrease specific invoice,

Create a Standard invoice first

Transactions Transactions

Type – Mrf Cars inv source Class – invoice Bill to – Mrf customer

Click on Lines

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Enter the Num, and suitable descriptions and quantity, and unit price.

Save and close

Click on complete To create accounting Tools Crate accounting Create final accounting post to GL

View accounting events for check entries.

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Create Credit memo transaction to decrease the customer balances in above specific transaction/invoices.

Path: Transaction Credit Transaction

Operation Unit – MRF Ou CARs Number – 1031(invoice which you want to decrease the balances)

Click on find

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We can see the Original balances as well as the actual balance due for this specific invoice transaction.

Click on the Credit Line

Enter Num, and suitable descriptions(System will pick here the same description which we have been given to actual transaction)

Enter the amount in negative to decrease the balances for selected invoce.

Save and close.

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Click on Complete.

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Now you can see the Credit memo has been applied to the original transaction. And you can find the Check box which has been enabled as Complete

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Create Accounting.

Tools Create Accounting Create final accounting post to GL Ok

To See Accounting entries for this transaction Tools view accounting

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Inquiry the Balances

Path: Inquiry Account Details

Enter the Transaction No which you have decreased the balances Trans Num – 1031 (Transaction Num) Click on Find

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Now you can see the balances which has been decreased to this specific invoice,

Click on Balances to see the actual transactions and credit memo status In below screen you can see the amount of credit memo has been applied to the

original transaction.

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2. Other way of creating credit transaction to individual invoices.

Path: Transactions Transaction

Query the invoice which you want to apply credit memo to decrease balances.

Click on Actions Create

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Once you click on Credit in above screen, You will find the original balances in this transaction, and the actual balances due

in this invoice.

Click on Credit line to decrease balances

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Enter the Num, and Description is coming from the original invoice, Enter the amount in negative always to decrease the balances.

Save and close.

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Click on Complete

You can find the status has been enabled as complete. Create accounting : Tools Create accounting -- > Crate final accounting post

to GL Ok

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To view Accounting Entries.

Tools View Accounting

To Inquiry

Inquiry Account Details

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You can select the invoice no to see the balances (Transaction number) Once you click on Find, you will be able to see below screen Here you can see the Total balances owe to this invoice

Click on Balances in above screen.

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You can see the actual transaction process, and the credit memo has been applied to original transaction.

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If you want to query the balances at transaction level. You can query the transaction at transaction level

Transaction Transaction

Query Transaction Number.

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Click on Details You can see the total transaction details , and credit memo/refund if at all applied

to this invoice.

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When you want to decrease the customer balances overall.

Path: Inquiry Account Details

Enter customer details in Bill to customer

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Name – MRF CARS Customer Click on Find

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You can see the total customer balance is -- 445000.

Path: Transaction Transaction

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Now you can create a Credit memo transaction to decrease the customer balances overall

Source – Mrf Cars Credit memo source Class – Credit memo Bill to – MRF Cars Customer

Click on Line items.

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Enter the Num Description And the amount in negative sign

Save and close.

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Click on complete Click on Create accounting Tools Create Accounting Create final accounting post to GL Ok

To View Accounting Entries.

Tools View accounting entries.

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Inquiry the Balances of customer now.

Path: Inquiry Account Details Select the Bill to Customer Name Name – MRF Cars Customer

You can see the balances has been decreased.

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Earlier the balances due is 445000 After creating credit memo transaction of – 150000 The balances has been decreased from 445000 – 150000 = 295000.

The above process is used vastly to decrease the customer balances.

you can find the original transactions, and the credit memo applied to the original transactions, and the total outstanding amount due after the credit memo transactions

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DEBIT MEMO(HAVE SOME DOUBTS IN CREATION OF DEBIT MEMO, NEED TO FIND OUT AND HAVE TO ASK SOME ONE HOW TO CREATE A DEBIT MEMO TRANSACTION, AND HOW TO APPLY THIS DEBIT MEMO TRANSACTIONS TO SPECIFIC TRANSACTIONS)

DEPOSIT :

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Deposits and Guarantees are called as Commitments

Deposit is an:

Monitory CommitmentOr

Funding Commitment

Guarantees are:

Non – MonitoryOr

Non – Funding commitment

When we apply a deposit to the transaction deposit is adjusted to the transactions. If Transaction balance becomes Zero the status of the transaction is closed.

Guarantee:

When we apply a guarantee to the transaction, transaction amount is adjusted in to a guarantee.

If the Guarantee balance becomes Zero the status of the guarantee is closed. While creating Receipts from the customer from deposits for commitments,

receipt has to be applied to the deposit not to the transaction In case of guarantee commitment receipt has to be applied to the transactions, not

to the guarantee.

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Commitments

Deposit Guarantee

Deposit – 100000 G1-- 100000

T1—10000T1 -- 10000

<10000> Adj from Depsosit T2 – 10000

T2—20000 T3 -- <70000> <20000> Adj from deposit

Closed – 2 C1 – Payments (Receipts)

C1 – Payment(Receipt)

100000 – 3

T3—50000 <50000>

Deposit:

When I applied a transactions the actual deposit (balance) is 100,000. Where us commitment balance is 90,000.

When you receive a payment of 20,000, you are created 10,000. For adjustment and remaining will be actual balances is 100,000. And commitment balance is 70,000.

If customer paid to you 100,000. Then actual balance will equal and it will closed, remaining balance will be transaction balances will be adjusted to the next transaction.

Guarantee:

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T1 & T2 apply to guarantee, the transaction and adjusted to the guarantee so guarantee balance will be as 70,000.

When you create guarantee for <70000> the guarantee will closed When you receive payment and when you apply receipt it will apply to the

transaction level not in guarantee.

DEPOSIT:

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Define Deposit transaction type:

Path: Setup Transaction Transaction type

Name – Mrf Cars deposits Class deposit Transaction status – Open Invoice type – Mrf cars invoice type Application type – Line and tax prorate Start date – 29th oct 2010 Description – Mrf cars deposits Printing option – Print Credit memo type – Mrf Cars credit memo Terms – Immediate

Enable, Open receivable Post to GL Natural application only Allow adjustment posting

Save and close

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Define Transaction source:

Path: Setup Transaction Source

Name – MRF Cars deposits Description – MRF Cars deposits Active Automatic batch numbering – Last Number -- 0 Automatic transaction numbering – 4000(you can give your ideal no, from which

no the transactions to start) Standard transaction type – MRF CARS deposits Credit memo batch source – MRF Cars credit memo source.

Save and close.

Create A transaction:

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Create a Deposit transaction

Path: Transaction Transaction Source – Mrf cars deposits Class 00 Deposit Bill to – Mrf cars customers

Click on Commitment tab Enter the Commitment amount Description – Generic commitment

Save

Click on Complete

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Create Accounting Tools Create accounting Create final accounting post to GL Create final accounting post to GL OK

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View Accounting

Path: Tools View Accounting

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Now Create a Normal invoice to Create to adjust the above deposit invoice.

Transaction Transaction Source – MRF Cars inv source Class—Invoice Bill to – Mrf cars customer Click on Line Items

Pick up your commitment number as reference, in commitment column.

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Enter Num Suitable description Quantity Unit price

Save and close this window

Click on complete

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Create accounting Tools Create Accounting Create Final accounting post to GL Ok

View Accounting events. Tools View accounting

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To see the Transaction details which has been applied to the commitment balance on Transaction window

Click on Details Tab Below screen will popup where you can see the original amount and the amount

has been adjusted with adjustments in commitment balance We can see the amount which has been applied to commitment in below screen.

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To See the Actual balance which has been applied to the commitments, for which this is the actual process to check the balances.

Click on Actions Installments

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You can see the invoice no If the transaction is spread more then one month you can see the total no of

periods too Total balance in this invoice is showing zero, being the transaction has been

already applied to the commitment.

Click on Balances tab in above screen to see the transaction over view. We can see the original balances And which has been applied and adjusted with the commitment We can see here the status as applied to the commitment

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Scroll right on the same screen We cans see on the same screen status of transaction . After applying this transaction to commitment, transaction is closed.

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To see the commitment status, and balancesPath: Transactions Transactions

Query the commitment transaction on transaction window. Click on Detail Tab We can see the here, original commitment balances is 100000, Commitment balance is 75,000, After applying the invoice to commitment balances, the amount has been

decreased from its original value.

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GUARANTEE

Path: Setup Transaction Transaction type

Creating Guarantee we need to have transaction type and transaction source.

Name – MRf CARs guarantee Class -- Guarantee Transaction status – open Invoice type – MRF CARS Invoice type Application rule set – Line and tax prorate Description – MRF CARs guarantee Creation sign -- positive sign Printing option – print Credit memo type – MRF CARS Credit memo Terms – Immediate

Enable Open receivables Post to GL Natural Application Only Allow Adjustment Posting

Save and close.

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Define transaction source.

Path: Transaction Source

Name – MRf cars guarantee source Description – MRF Cars guarantee source Active Automatic Batch Numbering – Last Number -- 0 Automatic Transaction Numbering--- 5000(This is optional, based on the our

requirement when the transaction number to be starts we can give here.) Reference Fields Default value – Interface_Header_Attribute1 Standard Transaction type – MRF CARS Guarantee Credit Memo Batch source – MRF CARS Credit memo source.

Save and close.

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Create a Transaction for Guarantee

Path: Transaction Transaction Source – MRF Cars guarantee source Class – Guarantee Type – MRF CARs Guarantee Bill to – MRF CARS Customer Payment term -- Immediate

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Click on Commitment Tab Enter Commitment amount you want for guarantee Description – Generic Commitment

Save

Click on complete

Page 135: Accounts Receivables

Create Accounting

Path: Tools Create Accounting Create Final Accounting post to GL Ok

View Accounting events.Tools View Accounting events.

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Click on the Detail tab on Transaction window You can see the commitment balance availability.

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Create a Invoice to adjust above Guarantee.

Transaction Transaction Source – MRF CARS inv source Class -- invoice Type – MRF Cars invoice source Bill to – Mrf cars customer Commitment – Pick up your guarantee commitment here

Click on Lines Items

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Click on Lines

Enter Num, suitable description, and quantity, and unit price.

Save and close.

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Create Accounting.

Tools Create AccountingCreate Final accounting post to GL Ok

View Accounting Entries.Tools View Accounting events.

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Click on Details tab on the transaction window You can see here the original transaction And which has been applied to the commitment

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Click on Actions on the same window Actions Installments

Here we can see the invoice and the total balances

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Click on balances You can see the total original amount And Applied to Commitment balances

Here you can see after applying this transaction to commitment, the transaction has not been closed,

The status remains still open. As said in introduction when you apply your transaction to a guarantee the

transaction will not get closed, only guarantee will cleared.

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Query Guarantee in Transaction window.

Path: Transactions Transactions

Query guarantee in transaction window Click on Details Here you can find the original commitment balances is 50,000. And the transaction has been adjusted with commitment of 20,000, The remaining guarantee balances is 30,000.

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You can see the guarantee balances is remains 30,000, and the status remains as open.

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Listing Definitions

Page 146: Accounts Receivables

BALANCE FORWARD BILLING CYCLEORCONSOLIDATION BILLING INVOICE(IN 11i)

Balance forward billing invoice is to consolidate all the transaction giving a common due date

Ex: Credit Card all the transaction consolidation will have common due date

1. Define balance forward billing cycle.

Path: Set up Print balance forward billing cycle.

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Name – MRF BFB Billing Description – MRF Bfb billing Frequency – Monthly (Here you can select Quarterly to generate billing every

three months once too as per requirements we can define it. Repeat Every – 1(Monthly) Days of month – enable check box from when you want to start billing on Based on this day, system will pickup invoice when you run balance forward

billing cycle.

Save and close.

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2. Define Balance forward billing payment terms.

Path: Setup Transaction Payment terms

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Name -- Mrf Cars BFB pt Description – enter suitable description Allow Discounts on partial payments Prepayment Credit Check Billing Cycle – MRF BFB Billing(This billing cycle as a mandate you should

pick up, which we have defined earlier for balance forward billing) Base amount – 100 Discount Basis – Invoice Amount

Print lead days –2 (When you do automatic receipts if any amount or receipt due by 2days those receipt will be done as automatic receipt)

Enter Relative amount – 100 Day of month – 15(have given the explanation in bottom of the screen) Months Ahead -- 0

Day of month – 15Months ahead – 0

The above day of month and month ahead example: In a particular month the billing date is 03rd April-10 for which you want to give

due date as 15days, then selected month ahead as 0., i.e: 03April+15days, OR if you want to give 45days as balance due date, 03April-10, so here select April + Months Ahead is 1 = 45days.

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3. Associate these terms with profile class.

Define Profile Class.

Path: Customer Profile Class

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Name – MRF BFB Good Customer Description – MRF BFB Good customer

Enable Balance forward Billing Enable check box

Bill Level – Account Type – Detail Terms Payment terms – MRF CARS BFB PT Allow discount Override Terms.

Collectors Name – Bhanu Prasad Cycle – MRF CARS Stat C Match Receipt by – Balance forward billing number Auto cash rule set – MRF CARS Auto cash(we have been already defined auto

cash rule set for different customer, so we can use the same, if we want to use auto cash rule set separately we can define it and pick the new one here)

Remaining Rule SET – MRF CARS Auto cash

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Click on Profile Class Amount Tab

Currency – INR

Credit Limit – 100,000 Order Credit Limit – 100,000

Save and close.

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4. DEFINE A CUSTOMER AND ASSOCIATE / ASSIGN PROFILE CLASS TO THE CUSTOMER

Switch you MRF TCA manager

Define CustomerPath: Trading Community Customer Standard.

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Click on Crate

Page 155: Accounts Receivables

Organization name – MRF BFB Customer

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Enter Account Site address.

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Click on Add Another Row

Select Ship to And select address as site bill to Enable as bill to is primary

Click on Save and add details.

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Click on Accounts profile Change profile class from default to MRF BFB Good customer

Click on Yes

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Click on Site Tab Click on Details icon

Page 160: Accounts Receivables

Click on Profile

Click on Yes

Page 161: Accounts Receivables

Change profile class in to MRF BFB Good Customer

Click on YES

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You can see in this screen all the payment terms, and auto cash rule set and statement cycle, every thing would have changed in to the one you defined.

Click on Apply

You can see here the changes has been saved. Click on Apply

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5.ENABLE SHOW BILLING NUMBER AT SYSTEM OPTIONS

Path: Setup System System Option

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Click on Trans and Customers Tab Enable Show Billing Number

Save and close.

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6. Create Some transactions

Create some transaction with Old GLDATE

Path: Transaction TransactionSource – MRF CARS INV SourceBill To – MRF BFB Customer

Click on Line Item

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Enter Num, Suitable Description, and quantity, and unit price.

Save and close.

Click on Complete

Page 167: Accounts Receivables

Create Accounting

Tools Create Accounting

Create Final Accounting post to GLOK

View AccountingTools View Accounting Events.

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Create a few more transaction on Old GLDate.

7. Now GENERATE CONSOLIDATED BILLING INVOCES

Path: Print Document Balance Forward Billing

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Click on OK

Name – Generate Balance Forward Bills

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Print Options – Print Final balance forward bills Operating Unit – MRF OU CARS Print Output – Yes Billing Cycle – MRF BFB Billing Billing Date – 01-Nov-2010 Currency code – INR

Click on OK

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Click on Submit

Click on Yes

Page 172: Accounts Receivables

Refresh the concurrent program

Path: View Request Find

Page 173: Accounts Receivables

RECEIVABLE ACTIVITY

Receivable activities are the allies for the account code combination which are used to balance the receivable account while apply the receipt with the transaction.

Receivable Activity:

Earned discount Unearned Discount Bank Charge Finance Charge Adjustment Write Off

When you create a Transaction

Receivable account – Dr To Revenue Account

100000

100000Earned Discount Cash Clearing account—Dr

Discount Account ---- Dr To Receivables Account

98000 2000

100000Un Earned Discount

Cash Account ---- DrUn Earned Discount—Dr To Receivables account

98,000 2000

100000Confirmed cash(when customer paid after deductions of bank charges, the remaining amount of 99800 rs it will be showed on confirmed cash.

Cash account --- DrBank Account – Dr To Receivables account

99800 200

100000

Bank charges Cash clearing account – DrBank charges –Dr To receivables account

99500 500

100000Finance Charges(you can create a invoice or a credit memo on this finance charges)

Cash account – Dr To receivable account To Finance Charges

102000100000 2000

Adjustments Cash clearing account ---DrAdjustment account To Receivables

6000042000

102000

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Write off Cash Clearing account – DrWrite Off account To Receivables account

1000 41

10041

PRE PAYMENTS

We can book the order before creating a transaction or before booking the order we need to receive the prepayment amount.

Receipts Payments C1

Pre Payments

Books

Processing shipping

Auto Invoices(after booking the shipping)

SI (Transaction)

Then the entry will be created.

Receivables account --------Dr 100000 For receivingTo Revenue account-------------- Cr 100000 Total prepayment

OM

SO

AR

Page 175: Accounts Receivables

Prepayment -----------------Dr 100000To Receivables account------------Cr 100000

If it’s partial amount then:

We are going to create entry for only partial amount Ex: if it’s 50,000, we are going to create only for 50,000

ADJUSTMENTS:

When there is a long dues from customer, you can ask customer to close the account after making partial (adjustment) payments

(The Principal amount) which is actual amount when it will not include any late payment charges or any penalties.

The remaining amount apart from principal amount will be taken in to adjustment account.

Actual Sales is 100,000.

Cash account ---- Dr 70,000Adjustments ----- Dr 30,000

To Receivables account --- 100,000

WRITE OFF: (It’s also a type of Adjustment)

Write off is used to adjusted to a small amount, where the customer paid under payment / over payment.

Cash account ---- Dr 10,000.Write Off account Dr 50

To Receivables account ----- 10,050.

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REFUND ACTIVITY

Customer refunds, in case if a customer is paid over amount, we need to refund the amount to customer.

Confirmed cash account --- DR 120,000.To Receivables account ----- 100,000.To Un Applied account ----- 20,000

After Remitting, We need to process Refund account.

Un Applied account --- Dr 20,000.To Refund------ 20,000.

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RECEIVABLE ACTIVITES:

Receivable activities are the allies for the account code combination which are used to balance the receivable account while apply the receipt will that transaction.

Path: Setup Receipt Receivable Activities.

First We need to define Existing Receivable activities. Press control+ F11

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1. Adjustment Reversal GL Account source – Select Activity GL Account Activity Gl Account – 001.000.000.5390(Standard cost Adjustment)

Save and close.

2. Define Charge Back adjustment receivable activity On the same window click on down arrow. Activity GL Account – 001.000.000.7776(Adjustment (Non recoverable tax))

Save and close.

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3. CHARGE BACK REVERSAL

Click on Dow arrow on the same window. GL Account Source – Activity GL Account Activity GL Account – 001.000.000.5390(Standard Cost Adjustment)

Save and close.

4. LOAN CONVERSATIONS

Click on Down arrow on the same window. GL account Source -- Activity GL Account Activity GL Account – 001.000.000.1216(Loan Principal Receivables)

Save and close.

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5. PAYMENT NETTING Click on down arrow on the same window. Gl Account source – Activity GL Account Activity GL Account – 001.000.000.

Save and close.

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Now we need to define Receivable activities our own, those are:

1. Earned Discounts2. Un-Earned Discounts3. Bank Charges4. Adjustments5. Refunds6. Finance Charges7. Receipt Write Off

Define Receivable activities for above given activities.

1. Define receivable activity for EARNED DISCOUNTS.

Path: Setup Receipts Receivable activity

Or you can click on down arrow on the same page where we have defined existing activities

Name – MRF Earned Discount Description -- MRF Earned Discount\ Type – Earned Discount(Type you should be the same, once you saved this its not

possible you to change again) GL account Source – Activity GL Account Activity GL Account – 001.000.000.7825(Discounts taken(Earned))

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Save.

2. Define Receivable Activity for UN-EARNED DISCOUNTS

Name – MRF Un earned discounts Description – MRF Un earned discounts Type – Un earned Discounts GL Account Source -- Activity GL Account Activity GL Account – 001.000.000.7824(Discount Taken(Unearned))

Save.

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3. Define Receivable activity for BANK CHARGES Name – MRF Bank Charges Description – MRF Bank Charges Type – Bank Charges GL Account Source -- Activity GL Account Activity GL Account – 001.000.000.7870(Bank charges)

Save.

4. Define Adjustments

Name – MRF Adjustments Description – MRF Adjustments Type – Adjustment GL Account Source – Activity GL Account Activity GL Account – 001.000.000.5230(Standard Adjustments)

Save.

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5. Define Refunds Name – MRF Refunds Description – MRF Refunds Type – Refund GL Account source – Activity GL Account Activity GL Account – 001.000.000.2935(Insurance Refund)

Save

6. Define FINANCE CHARGES Name – MRF Finance charges Description – MRF Finance charges Type – Finance Charges GL Account Source – Activity GL Account Activity GL Account -- 001.000.000.7779(Finance Charges (Non recoverable

Tax))

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Save.

7. Define RECEIPT WRITE OFF Name – MRF Receipt write off Description – MRF Receipt write off Type – Receipt Write-off GL account Source – Activity GL Account Activity GL Account – 001.000.000.5230 (Standard Adjustment)

Save.

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Determine Receivable Accounts on Internal Bank.

Receipt Bank

Enter Bank Name in search column and click on GO Click on Create Account

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Click on Cancel

Enable the account check box of the account Click on Update account

Page 188: Accounts Receivables

Click on Next

Click on Save and Next

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Click on Save and Next

Click on Options

Page 190: Accounts Receivables

Confirmed Receipts -- 001.000.000.1245 – Receivable factoring/remittance Remitted Receipts --- 001.000.000.1245 – Receivable factoring / Remittance Factored Receipts --- 001.000.000.1245 -- Receivable factoring / Remittance AR Short term debt -- 001.000.000.2120 – Short term debt BR Short Term debt -- 001.000.000.2120 – Short term debt Un Applied Receipts -- 001.000.000.1240 -- Un Applied cash Un identified receipts – 001.000.000.1240 -- Un Applied cash On-Account Receipts -- 001.000.000.1240 -- Un Applied cash

Receivable Activities

Un Earned Discounts – MRF Un Earned discounts Earned Discounts – MRF Earned Discounts

Click on Apply

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Click on Save and Next

Click on Finish.

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PAYMENT

REMIT

BANNK STATEMENTS

INTERNAL BANK

CASH BANK

C1RECEIPTS

INTERNAL BANK

CM

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TRANSACTIONS:

Receivables account -- DrTo Revenue account

Receipt confirmed

Confirmed Cash account --- DrTo Receivables account

Receipt Remitted

Remitted Receipts account ---- DrTo Confirmed receipts account

When Cleared

Cash account --- DrTo Receipt Remitted account

Factored Receipts account --- DrTo Receivables account

Discounted

Short Term Debit account – DrTo Factored Receipts

Instance Customer paid

Cash Account – DrTo Short term Debt account

Future dated receipts are called as factoring (or) Discounted.

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DEFINE RECEIPT CLASS

Path: Set up Receipt Receipt class

Receipt Creation Method.

1. Manual: We are receiving Manually

2. Automatic: Where we can generate, based on the transaction dates, system automatically generates receipts.

3. Bills Receivables: This is to receive Bank Guarantee (Manual Guarantee)

4. Bills Receivables: Remittance (Automatically) automatic bank guarantees

5. AP / AR Netting: If the same entity, or supplier, or customer, if the liability is more then we compare and we settle the invoices.

Remittance Method:

1. Standard: What ever the payment receiving by customer we are going to deposit in our bank.

2. Factoring: What ever the bills you want to discount those bills only called factoring

3. Standard & factoring: If you want to discount (or) not, based on request.

4. No Remittance: No deposit accrued

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Clearing Method:

1. By Matching: What ever the receipt we created those receipt will be matched with bank statement to be matched in cash management

2. Automatic Clearing: Those receipt which is matched it will cleared automatically

3. Direct: No Clearing Required.

Receipt Method: (Manually we need to enter)

The Customer sends directly as cheque (or) ECS, Or Wire. There is no list of values we need to enter the values Manually.

Receipt Method:

Cheque ECS Wire

Receipt Method:

A Receipt method is to determine the method in which the customers is going to send payments

i.e., Cash, Cheque, Electronic, Swift, etc..

Once we define a receipt method system internally generates a document category with the same name as receipt method.

We can use this category to generate our own sequence for generating receipt numbers, Manual (or) automatic

We are going to associate this receipt method to customer We can also use this receipt method while crating automatic receipt

Note: When define receipt method generally, system internally generates document category with the same name as receipt method.

We can use this document the we can generate number of our own sequence by associates with a document sequence.

Note: it also generally automatically for each transaction source and receipt class

Page 196: Accounts Receivables

Path: Setup receipts Receipt Class

Page 197: Accounts Receivables

NAME – Mrf Manual Creation Method – Manual Remittance Method – Standard And Factoring Clearance Method – By matching

Receipt method Name – MRF Cheque(You can define it your own receipt method) Effective date – 05—Nov-2010 Printed Name – Mrf Cheque.

Click on Bank accounts.(We are assigning bank account once you assign all the amount will be deposited to a particular bank)

Page 198: Accounts Receivables

Operating unit – MRF OU CARS Bank Name – MRF Bank(When you select the bank all the account you defined in

bank, it will be associated to this receipt method) Account Name – MRF CARS PVT LTD Risk Elimination Days – 4(the credit limit + given grace period to clear the

receipt; Credit limit 60+ 4 days = 64days) Clearing Days – 3 (Cheque clearing days) Enable Override bank ( if you enable this option, you can over ride the bank at the

time of receipt)

Page 199: Accounts Receivables

Click on Formatting Programs TAB

Remittance print – Print bank Remittances program Factoring Print – Print Bank Remittances Program

Save and close

Page 200: Accounts Receivables

DEFINE RECEIPT SOURCE

A Receipt source is to determine origin of the receipt that is (Manual (or) Automatic) and is also determine receipt class, payment method, also bank account and automatic numbering.

Setup Receipt Receipt Source

Page 201: Accounts Receivables

Operating Unit – MRF OU CARS Name – MRF Manual source Description – MRF Manual source Receipt Source type – Manual

Receipt class – MRF Manual (You can define your own receipt method here) Bank Account – MRF CARS PVT LTD Payment Method – MRF Cheque (One receipt class can have one or more receipt

method) Batch Numbering – Automatic – Last number (100) (The batch number when you

select automatic the next number is 101) Effective date – 05-Nov-2010

Save and close.

Page 202: Accounts Receivables

Create a Manual Receipt

Path: Receipt Receipt

Page 203: Accounts Receivables

Receipt method – MRF Cheque Receipt Number – 1 Receipt Amount – 50,000 Receipt Type – Standard

Trans Number – 1024(We should pick this transaction number hence based on this number this receipt will apply to those transactions., i.e., I have selected here 1024, if at all any other receipts are in prior to this transaction then receipt will be applied to those transactions respectively)

Customer – MRF Cars customer

Click on – Search and Apply

Page 204: Accounts Receivables

Click on Apply Click on Yes

Page 205: Accounts Receivables

Here we can see the receipt has been applied to few transactions Save the work.

Create accountingPath: Tools Create Accounting Ok

Create Final accounting post to GL Click on Ok Ok

Page 206: Accounts Receivables

View Accounting events.

Tools View accounting events.

CREATE REMITTANCE

Path: Receipt Remittance

Page 207: Accounts Receivables

Receipt Method – Standard Receipt Class – MRF Manual Receipt Method -- MRF Cheque

Remittance

Bank – MRF bank Branch – MRF CARs branch bank Account Number – 925632582(we should pick the account number manually)

Click on – Manual Create

Page 208: Accounts Receivables

To Select receipt query the receipt – CON+F11Select the receipt

Click on Approve

Click on Yes

Click on Ok

Page 209: Accounts Receivables

Click On Ok

Refresh the concurrent program View Request FindRefresh until complete successfully.

Page 210: Accounts Receivables

Go back to Remittance form

Query for the specific remittance.

Press – CON+F11

Click on Format

Click on Yes

Click on OK

Page 211: Accounts Receivables

Refresh till gets completes successfully.

If you want to see output you can click on View Output.

To View/find Customer BalancesInquiry Account Details

For Checking customer balances after creating receipt and remittance, select Bill to customer as required customer name and click on Find, as you can see the customer balances availability

Page 212: Accounts Receivables

Create a Receipt in Batch;

Path: Receipt Batches

Page 213: Accounts Receivables

Batch Type – Manual-Regular Batch number – (this column will be freeze automatically) Batch Source – MRF Manual source Currency – INR Receipt Class – MRF Manual Payment Method – MRF cheque Bank Name – Mrf Bank Bank account Number – 273592365 Control – 2 Amount – 60000(No of receipts you want to create in a batch wise as well as the

amount limitation on batch we can give here.)

Click on – Receipts

Page 214: Accounts Receivables

Receipt Number – 2 Type – Standard Receipt date – 06-NOV-2010 Currency – Inr Receipt amount – 40,000 Customer – MRF CARS Customer

Click on Search and apply

Page 215: Accounts Receivables

Click on Apply

Page 216: Accounts Receivables

Click on SAVE

Create accountingTools View Accounting Final and post to GLClick on OK

Page 217: Accounts Receivables

View Accounting

ToolsView Accounting events

Page 218: Accounts Receivables

Create receipt using Auto Cash rule set.

Receipt Batches

Batch Type -- Manual – Quick Batch Source – MRF Manual source Currency – Inr Receipt class – Mrf Manual Payment method – Mrf cheque Bank name – Mrf bank Bank account number – 27985792

Control – 2 Amount – 70,000

Click on receipts

Page 219: Accounts Receivables

Receipt Number – 5(after entering receipt we need to enter one more receipt for remaining amount)

Amount – 50,000 Application Rule set – Auto Cash Rule set Customer Name—MRF Cars customer

Scroll the screen towards your right and fill the remaining details on the same screen

Payment method – MRF Cheque Remittance bank name – MRF Bank Remittance bank account num – 9798t56325(hear the no I have mentioned for a

reference to process, in reality we need to pick up suitable bank account number) Same process we need to enter one more receipt for remaining amount.

Save and close this window.

Page 220: Accounts Receivables

After closing previous window. Click on Post Quick cash Click on Yes

View RequestRefresh till complete program successfully.

Click on View output(to see the report which has been applied to based on auto cash rule set)

Page 221: Accounts Receivables

We can see in this report as total controls are given with 2receipts amount of 70,000, but in actual we have enter the amount of 75,000, the difference amount too we can see in negative balance.

We can see here the auto cash rule has been applied oldest first

Page 222: Accounts Receivables

ADJUSTMENTS

These adjustments is Manual adjustment for long due for big amounts, and will give him as option of settlement.

1. To Create Adjustment first We need to define Adjustment receivable activity and2. Approval limits for adjustment.

1. Receivable activity for Adjustment(We have defined this activity in earlier sinarious)

Setup Receipt Receivable Activity

Save and close.

Page 223: Accounts Receivables

DEFINE APPROVAL LIMITS FOR ADJUSTMENT

Path: Setup Transaction Approval limit

Query User name(if have defined any of user limits, otherwise pickup your user name under User name)

User Name – MRF USER Document Type – Adjustment Currency –INR From Amount -- <30,000>(if the customer has not paid the amount then he can be

access to approve till 30,000 of deficit) To Amount – 30,000 (if at all customer paid over amount and we are not going to

refund the scenarios still user can adjust this amount till 30,000)

Page 224: Accounts Receivables

Create Transaction

Path: Transaction Transaction Source – MRF Cars inv source Bill to – MRF New customer(I have defined here new payment terms and defined

new customer, coz., of installments or payment terms will give you confusion, so have been defined the payment terms as in one time, attached it to profile class and the same has been associated with customer.)

Click on Line Items

Page 225: Accounts Receivables

Num – 1 Description – Give suitable description Quantity – 1 Unit Price – 50,000

Save and close

Click on Complete Create accounting

Path: Tools Create accounting Final and post to GL OK

View AccountingTools View Accounting.

Page 226: Accounts Receivables

Create a Receipt for above transactionPath: Receipt Receipt

Receipt method – MRF Cheque Receipt number –17 Receipt Type – Standard Transaction Number – 1106(Select the transaction number which you have

defined earlier or which you want to adjust the amount to a particular transaction)

Click on Search And Apply

Page 227: Accounts Receivables

Click on Adjustments

Activity Name – MRF Adjustment activity Type – Invoice Amount—(<19387>)(when you click on cursor on this amount tab system

automatically pick the difference amount on which you want to adjust) As you have an outstanding of 50,000, from customer but here you have been

received only 30,000, Assume that the final amount, then you can go for closing the transaction with the due is <20,000>

Save and close.

Page 228: Accounts Receivables

Go back to Transaction to view your transaction activity whether the adjustment has been applied to this transaction or not,

Transaction Transaction

Click on Actions Installments

Note: The Other way of finding invoice due is click on Details tab. So that you can find out the status of this transaction.

Page 229: Accounts Receivables

Click on Activities

You can see the invoice class under class which has been two: Payment and adjustmentEven we can see the amount has been allocated as payment and adjustment

Page 230: Accounts Receivables

Scroll you right on the same screen You can see the transaction status has been applied as payment, And approved as adjustment State is confirmed.

Error Massage.

Page 231: Accounts Receivables

CHARGE BACK

Charge backs are used to close existing debit items and open a new debt item.

Note: When we are closing the transaction through adjustment, and we closed transaction, in future if customer wants NOC, we collect the remaining pending amount along with late payment charges, and penalty, and interest charge we used to do through charge back.

Debit Memo – Price Correction we Used

Note:

If the contract is 3months, and the customer want to extend it to another 1month, we are going to close the transaction for the same transaction we are going to create another transaction with charge back of extending of the new month.

Define Adjustment activity and define approval required for limits to approve.

Define Charge back adjustment receivable activitySetup Receipt Receivable activity

Save and close

Page 232: Accounts Receivables

Define Transaction type to charge back

Name—MRF Cars charge back Class – Charge Back Transaction Status – Open Invoice type – MRF Cars invoice type Application rule set – Line and tax prorate Description – MRF Cars charge back Creation sign – Positive sign Printing option – Print Credit memo type – Mrf cars credit memo Term – MRF New Pt

SAVE and close

Page 233: Accounts Receivables

Define Transaction source.

Name – MRF charge back source Description – MRF cars charge back source

Enable Active Automatic batch numbering -- 0 Automatic transaction numbering -- 6000

Save and close.

Page 234: Accounts Receivables

DEFINE APPROVAL LIMITS

Query the user name(we have been defined approval limits to this user for adjustments earlier)

If not you can define it new approval limit for adjustment activity of charge back.

Save and close

Page 235: Accounts Receivables

Define Transaction

Path: Transaction Transaction

Source – MRF Cars inv source Bill to – MRF new Customer

Click on Line Items.

Page 236: Accounts Receivables

Num – 1 Description – Enter suitable description Quantity --- 1 Unit Price -- 100000

Save and close

Click on Complete Create accounting Tools Crate accounting create accounting final and port to GL OK

View Accounting events.Tools View Accounting Events

Page 237: Accounts Receivables

Create a Receipt

Receipt Receipt

Receipt Method – MRF Cheque Receipt Number – 20 Receipt Amount – 70,000 Transaction Number – 1107(pick the transaction number on which you want to

apply this charge back)

Click on Apply

Page 238: Accounts Receivables

Click on Charge Backs

Type—MRF Cars charge back type Amount – 28571(the due amount will pick automatically by system) GL Account – 1530/1210(We can pick any of the account,(Machinery/accounts

receivables.)) We can also change the GL Account here if it’s required.

Save and close.

Page 239: Accounts Receivables

Path: Transaction Transaction

Query the actual transaction which you have been applied the charge back.

Actions Installments

Page 240: Accounts Receivables

Click on Activities.

We can see the transaction here where it has been adjusted due balances.

Page 241: Accounts Receivables

.

RECEIPT WRITE – OFF

Write off is used to adjust small amounts which are remaining as under (or) over payments

Write off can be done in two ways

1. Manually 2. Automatically

Using Manual process we can write off under payments (or) over payments

Using Automatic process we can write off only over payments.

Page 242: Accounts Receivables

Define Write – off Receivable activity.

Path: Setup Receipt Receivable Activity.

We have defined this receivable activity earlier, though this is for a reference.

Save and close.

Page 243: Accounts Receivables

Define Receivable Adjustment Receivable activity. This one we have already defined earlier

Save and close.

Page 244: Accounts Receivables

Define Approval Limits for Adjustments.

Path: Setup Transaction Approval Limits.

We have define this approval limits for adjustments to this user, so not required again, if its being a new user then this is this process to define adjustment limits.

Save and close.

Page 245: Accounts Receivables

Now Define Approval limits for Write – off

User Name – MRF User Document type – Receipt Write off Currency – Inr Amount -- <200> Amount – 200

Primary – when you are enable this primary option you can check or select the limits preference, if you have defined or setup the limits more then one.

Save and close.

Page 246: Accounts Receivables

Define the Write – off limits at System option level

Path: Setup System System options

Page 247: Accounts Receivables

Click on Miscellaneous Tab

Write – off limits per receipt -- <100> -- 100

Here we are setting up Company level as write off limits per receipt basis,

When you are setting up in system option level, this will represent company level

Save and close.

Page 248: Accounts Receivables

Create Two Transactions

Path: Transaction Transaction

Name -- MRF cars source Bill to -- Mrf New Customer

Click on Line Items.

Page 249: Accounts Receivables

Num – 1 Description – Enter Suitable Description Quantity – 1 Unit Price – 9800

Save and close.

Page 250: Accounts Receivables

Create Accounting Tools Create Accounting Create Final accounting post to GL

Page 251: Accounts Receivables

Create Another Transaction.

Source – MRF CARS INV SOURCE BILL TO – MRF NEW customer

Click on Line items

Enter the Num and description, and quantity and unit price.

Save and close.

Page 252: Accounts Receivables

Create Accounting

Tools Create Accounting Create Final Accounting Post to GL OK

Page 253: Accounts Receivables

Create A Receipt Path: Receipt Receipt

Receipt Method – MRF ChequeReceipt type – Standard.

Page 254: Accounts Receivables

There is some error, while creating Manual receipt write off., need to find out from some one on this.

Page 255: Accounts Receivables

CREATE A TRANSACTION FOR AUTOMATIC PAYMENT TO OVER PAYMENTS

CREATE TOW TRANSACTIONS for automatic receipt write off process

Transaction Transaction

Name – MRF cars inv source Bill to – MRF NEW1 Customer

Click on Line Items

Num – 1

Page 256: Accounts Receivables

Description – Machinery Quantity – 1 Unit Price – 9950

Save and close.

Click on compleate Create accounting Tools Create Accounting Create final accounting post to GL OK

Crate Another Transaction

Page 257: Accounts Receivables

Name – MRF Cars Inv source Bill to – MRF New1 Customer

Click on Line Items

Num – 1 Description – Machinery Quantity –1 Unit Price – 14450

Save and close.

Click on Complete

Page 258: Accounts Receivables

Create Accounting

Tools Create Accounting Crate Final Accounting post to GL OK

Create Receipt for above two transactions

Page 259: Accounts Receivables

Receipt Method – MRF ChequeReceipt number – 55Receipt amount – 10,000(Original amount of transaction is 9950, but here we are crating receipt is over amount of 50., i.e., 10,000)Receipt type – StandardTransaction Number – 1117(We have to pick manually this transaction number on which we want to apply the write off amount)

Click on Apply

Page 260: Accounts Receivables

Save and close.

Page 261: Accounts Receivables

Create a receipt for 2nd transaction which we have created above for automatic receipt write off process

Receipt Method – MRF Cheque Receipt Number – 61 Receipt amount – 14500 (where us the original transaction amount is 14450, but

we are creating receipt for 14500 over amount of transaction)

Transaction Number – 1121 (pick the transaction number manually as required)

Click on Apply

Page 262: Accounts Receivables

Save

Page 263: Accounts Receivables

NOW AUTOMATICALLY WRITE OFF OVER PAYMENTS

Controls Write off

Page 264: Accounts Receivables

Operating Unit – MRF Ou Cars Receipt Currency – INR Unapplied Amount – 100(this is the limit what we have given to user to approve

for receipt write off, beyond that limit if you give system will not allow you to process, and it will through you error stating the unapplied amount should be on in between the approved limits.)

Activity – MRF Receipt Write off Apply Date – 06-Nov-2010 GL Date – 06-Nov-2010

In options Enable as Create Write – off

Click on Submit

Refresh data

Page 265: Accounts Receivables

Refresh this program till turns as completes successfully

Page 266: Accounts Receivables

Receipt Receipt

Query the receipt which you have done for automatic receipt write off process

Click on Apply

We can see in below screen the amount has been applied for receipt write off automatically by system.

Page 267: Accounts Receivables

Re-query for the another receipt which we have done it in for automatic receipt write off process.

Click on Apply.

We can see this receipt too has been applied receipt write off process automatically by system, and the amount turned in to zero.

Page 268: Accounts Receivables

REFUNDS

Define Receivable activity for REFUND

Setup Receipts Receivable activity

Save and close.

Page 269: Accounts Receivables

Create a Transaction

Transaction Transaction

Name – MRF Cars inv source Bill to – MRF NEW1 Customer

Click on Line Items

Num – 1Description – Enter suitable descriptionQuantity – 1Amount -- 100000

Save and close.

Page 270: Accounts Receivables

Click on Complete

Create accounting

Tools Crate Accounting Create Final accounting post to GL Ok

View AccountingTools View accounting Events.

Page 271: Accounts Receivables

Create a Receipt for above transaction

Receipt Receipt

Receipt Method – MRF ChequeReceipt Number – 70Receipt Amount – 100000Receipt type – StandardsTrans number – 1122(pick above transaction number, or on which receipt you want to process this receipt pick trans num)

Click on -- Apply

Page 272: Accounts Receivables

Query – CON+F11

Select the Check box as enabled.

Save and

Create AccountingTools Create Accounting Create final accounting post to GL OK

Page 273: Accounts Receivables

View Accounting

Tools View Accounting events.

Page 274: Accounts Receivables

CREATE REMITTANCE

Receipt Remittance

Batch type – Remittance Currency – INR Remittance Method – Standard Receipt class – MRF Manual Receipt Method – Mrf cheque Bank – MRF Bank Branch – MRF CARS Branch Bank Account Number – 0327527098

Click on Manual Create

Page 275: Accounts Receivables

Enable the checkbox on which receipt you want to clear remittance.

Here the above receipt number is 70, have been selected the check box on 70 to process remittance.

Click on Format.

Click on Yes

Click on OK\

Page 276: Accounts Receivables

Click on OK

Click on OK

RE-query the same receiptClick on apply on this screen

Page 277: Accounts Receivables

Apply to -- Refund Apply date – 07-nov-2010 Amount applied – 100000

When I create refund system automatically create a invoice in payables for payments.

Click on Refund Attributes.

Page 278: Accounts Receivables

Customer name – MRF New1 CustomerRefund payment Method – Check(pick the payment method you want to use)

Click on Apply

Page 279: Accounts Receivables

Click on Refund status

We can see in below screen payable refund request

Page 280: Accounts Receivables

The invoice(refund) would have been generated here

Switch to Acccounts payable

Query the refund invoices

Actions Force approval Create Accounting

Refresh

Actions Pay in full

Type – ManualBank –Payment Method –Payment Document

Save and close

Switch to AR responsibility

Query the receipt Number

Click on Apply

Refund status – you can see the status of the particular refund(status)

Page 281: Accounts Receivables

AP/AR NETTING

DEFINE NETTING INTERNAL BANK ACCOUNT

Switch to AP ResponsibilitySetup Payments Banks and branches

Page 282: Accounts Receivables

Click on Branches Enter Branch Name – MRF CARS Branch bank

Click on Go Click on Create Account

Click on continue

Select Bank account Owner – Mrf Le motorsEnable

Payable Receivable

Page 283: Accounts Receivables

Account Name – MRF CARS Netting Account Number – 0932532054 Currency – Inr Enable Multiple currencies allow(if you enable this option here then system

will allow you to enter multiple currencies under this account, of not you will not be allowed to use)

Account type – Other

Click on Save and Next

Page 284: Accounts Receivables

Cash – 001.000.000.1110(cash) Cash Clearing – 001.000.000.1250 (Cash clearing) Bank charges – 001.000.000.7842 (bank charges) Bank Errors – 001.000.000.7842 (Bank charges) Agency Location Code – 0325235 Netting Account – Yes (you have to enable Netting account as yes)

Click on Save and next

Click on Add Organization access

Page 285: Accounts Receivables

Enable

Payable Receivable

Organization – MRF OU CARS Click on Continue

Page 286: Accounts Receivables

Payable Options Realized Gain -- 001.000.000.7842 – exchange rate variance gain Realized Loss -- 001.000.000.7844 – Exchange rate variance loss. Future dated payments -- 001.000.000.2580 – Future dated payments Enable Default Settlement account

Under Receivable options Confirmed Receipts -- 001.000.000.1245 – Receivable factoring/remittance Remitted Receipts --- 001.000.000.1245 – Receivable factoring / Remittance Factored Receipts --- 001.000.000.1245 -- Receivable factoring / Remittance AR Short term debt -- 001.000.000.2120 – Short term debt BR Short Term debt -- 001.000.000.2120 – Short term debt Un Applied Receipts -- 001.000.000.1240 -- Un Applied cash Un identified receipts – 001.000.000.1240 -- Un Applied cash On-Account Receipts -- 001.000.000.1240 -- Un Applied cash

Receivable Activities

Un Earned Discounts – MRF Un Earned discounts Earned Discounts – MRF Earned Discounts

Click on Apply

Page 287: Accounts Receivables

Click on Save and Next

Click on Finish

When I select for Netting account in the process of Manage payment documents, it’s turned in to ash color where we can not enter.

Page 288: Accounts Receivables

DEFINE RECEIPT CLASS WITH AP/AR NETTING

Switch to AR responsibility

Setup Receipt Receipt Class

Enter the required details as

Click on Bank accounts

Page 289: Accounts Receivables

Enter the Operating Unit – MRF OU CARSBank Name – MRF BankAccount name – MRF CARs NettingBranch name – MRF CARS Branch bank

Risk elimination days – 10Clearing days – 3Effective dates – 07-NOV-2010

The Account code combinations are picked up from your bank Payable options and receivable options the moment when you enter the Bank account details.

Click on Formatting programs.

Page 290: Accounts Receivables

Click on Formatting programs TAB

Remittance print – Print Bank remittance programFactoring Print – Print – Print Bank Remittance program

Save and close.

Page 291: Accounts Receivables

Setup Receipts Receipt Source

Name – MRF Cars AP/AR Netting Manul Description – MRF CARs AP/AR netting Manual

Receipt source type – Manual

Receipt class – MRF AP/AR Netting Bank Account – MRF CARS Netting Payment method – MRF AP/AR netting

Batch numbering – Automatic Last number – 300(next receipt number will start form 301)

Save and close.

Page 292: Accounts Receivables

DEFINE AP/AR NETTING AGREEMENT

Receipt netting Netting Agreement

Click on Create Agreement

Page 293: Accounts Receivables

Operation Unit – MRF OU CARS Netting agreement Name – MRF CARS Agreement

Start DATE – 07-Nov-2010

Netting Bank account – MRF cars Netting Select only past due receivables transaction – Yes Days past due –2 Netting Order Rule – Due date (Oldest to most recent) Netting balance rule – Net Always Netting currency rule – Use Single currency

Invoice Type – Standard

Receivable transaction type – MRF CARS Invoice type

Click on Next

Page 294: Accounts Receivables

Supplier name – MRF Supplier

Customer name – MRF New1 customer

Click on Next

Click on Finish

Page 295: Accounts Receivables

You can see here the confirmation as Netting agreement MRF CARS Agreement has been created.

Page 296: Accounts Receivables

Before crating a transaction/invoice make sure that all the periods opened in GL, Ap, AP

Create a Standard Invoice in AP with Current Date

Setup Entry Invoice

Page 297: Accounts Receivables

Type – StandardTrading partner – MRF supplierInvoice date – Current DateInvoice Num – N50

Amount – 70000 Term – immediate Payment Method – check In lines Type – Item Amount – 70000 Click on Distributions

Page 298: Accounts Receivables

Num – 1Type – ItemAmount – 70,000GL DATE – Current dateAccount – 1530 (Machinery and equipments)

Save and close.

Page 299: Accounts Receivables

Click on Complete

Click on Actions Enable validateForce approval (if you have been asked for force approval should take the approval while validating invoice)

Click on OK

Page 300: Accounts Receivables

Click on Actions -- > Create Accounting Crate final accounting post to GLClick on OK

Page 301: Accounts Receivables

Switch to AR responsibility

Crate a Transaction

Transaction Transaction

Source—MRF CARS Inv source Bill to – MRF New1 customer

Click on Line items

Page 302: Accounts Receivables

Click on Num—1

Description – Machinery and equipments Quantity – 1 Unit Price – 100000

Save and close.

Click on complete Create Accounting Tools Crate accounting Create Accounting crate final accounting post to GL OK

Page 303: Accounts Receivables

CREATE NETTING BATCH

Receipt Netting netting Batch

Click on Crate batch

Operating Unit – MRF OU CARS

Page 304: Accounts Receivables

Netting Agreement – MRF CARS AGREEMENT Settlement date – Current date Batch name – MRF CARS Netting Batch1 Transaction due date – Current date Exchange rate type – Corporate Submit batch without review – NO

Click on Submit

You can see here the netting batch has been confirmed as created.

View Request Refresh

Page 305: Accounts Receivables

Refresh till it gets completes successfully.

Click on Out put to see result

When you run the program the above name should get excecute then we can consider setups right

Page 306: Accounts Receivables

AUTOMATIC RECEIPTS

Internal bank Cust bank

Org

Automatic Receipts

10 Invoices

10of 8

8 Approved

Format

CM

Moved to Remittance

Page 307: Accounts Receivables

Define Automatic Receipt Class

Set up Receipt Receipt Class

Page 308: Accounts Receivables
Page 309: Accounts Receivables
Page 310: Accounts Receivables

DEFINE SEQUENTIAL NUMBERING DECUMENT

Switch to System administrator

Page 311: Accounts Receivables

ASSING DOC SEQUNTIAL TO CATAGORIAL

Application Sequantial Numering Assing

Page 312: Accounts Receivables

SET SEQUENTIAL NUMBERING PROFIEL OPTION TO PARTIALLY USED

Page 313: Accounts Receivables

SWEITH TO AR

Customer Customer

Page 314: Accounts Receivables