Scenario :
- 2012-08-01 : bought Item X, 1000 Qty @ THB 1000 each from Supplier 1001
- 2012-09-01 : Supplier 1001 announce Price Protection, where by Item X is now THB 900 each
To do :
1. Perform Reset MA to adjust Item X moving average price (cost price)
- go to Inventory > Reset MA > Reset MA
- select Item X
- key in 900 into "New Moving Average Price" field
- key in the reason for this Reset MA
- click Reset MA Now
the journal created will be (assuming none of the 1000 Qty has been sold) :
Debit Credit inventoryVariance 100,000 inventory 100,000
2. Create Supplier Credit Memo (debit note) for Supplier 1001 to record in the system that Supplier 1001 is owing you
- go to Supplier > Credit Memo > Create
- Branch : can be HQ
- Supplier : Supplier 1001
- Date : the Price Protection Date
- Reference and Remarks : key in the necessary details
- GL : credit inventoryVariance
- Click Add Item, then click Confirm and Save to create the Credit Memo (debit note)
the journal created will be (assuming none of the 1000 Qty has been sold) :
Debit Credit accPayable 100,000 inventoryVariance 100,000
3. If you do not receive cash refund from Supplier 1001, you can just keep the above Credit Memo open, and use it to contra existing / future Supplier Invoice (from Supplier > Credit Memo > Contra)
4. If you receive actual cash refund from Supplier 1001, then follow the steps below :
- Part 1 : Create Credit Memo (credit note)
- Branch : can be HQ
- Supplier : Supplier 1001
- Date : the Cash Refund date
- Reference and Remarks : key in the necessary details
- GL : debit priceProtection (or any other GL decided by the Account Dept)
- Click Add Item, then click Confirm and Save to create the Credit Memo (credit note)
the journal created will be :
Debit Credit priceProtection 100,000 accPayable 100,000
- Part 2 : Use the 1st Credit Memo to contra the 2nd Credit Memo
- go to Supplier > Credit Memo > Contra
Part 3 : Create Receipt Voucher
- go to Finance > Receipt Voucher > Create
- choose the correct Branch, Cash Book, Receive To, Cheque No, Remarks, Receipt Voucher Date.
- for GL, choose priceProtection (must be the same GL as the one you use to create the 2nd Credit Memo in Part 1 above).
- lastly, click Save
the journal created will be :
Debit Credit bank 100,000 priceProtection 100,000