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Re: Purchase discount received

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Hi ,

 

In addition to above experts replies ,i would like to share some more inputs on this subject.

Case 1 :- If discount on material price ,it would be statistical while create the Purchase order. ( GRIR Price is ( Material price - Discount).

Case 2 :- If discount on total invoice value and separately shown vendor tax invoice it would be post while posting the Invoice through MIRO & Entry as follows. ( Base amount to be consider as per accounting standard)

GRIR Clearing account.........Dr

   To Vendor...............................Cr

    To Discount received .............Cr

No impact on material price.

Case 3 :- If discount given on payment side like if we paid with in 10 days 10% discount like.

No impact on material price or material GL account. Payment entry as follows ,if you get discount against payment.

 

Vendor ..............Dr

   To Bank clearing account.......Cr

    To Discount Received.............Cr.

 

I hope you understand.

 

Regards

Mani

 

 

 

 


 



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