As it stands currently, you can issue a prepayment against a PO. However, when invoices are processed against that PO, they are automatically 100% applied towards the outstanding prepayment balance available. In many business scenarios, there should at least be the flexibility to adjustment how much of the invoice goes towards the prepayment and how much of the invoice is still to be left as payable to the vendor. Please provide the ability to adjust the purchase order prepayment balance applied to vendor invoices.
Comments
I think the accounting could get messy. If people could unapply or change how much was applied, you could end up with wacky amounts staying in the Prepayment Account. Typically, when an Invoice is posted for a PO with a prepayment, the distributions would be: Debit: Accrued Purchase AccountCredit: PO Prepayment Account (if total is less than amount prepaid, the balance of the prepay would be available for the next invoice)Credit: AP Account (Only gets hit if the Invoice total is greater than the amount of the prepay).If you were able to unapply, you would need to have an apply window added during the Enter/Match window...and the Shipment/Invoice window. I could think of some "work arounds" but I think security and reconciliation would get really messy if this was changed.
Category: Distribution - Purchase Order Processing
Jodi Christiansen (administrator) on 6/3/2024 8:48:42 PM
Unfortunately, considering the lifecycle of Dynamics GP, this suggestion won’t be taken into consideration at this time
Jodi Christiansen
PM, Microsoft