How to use Transaction Type - Customer Debt Adjustment
Transaction Type 'Customer Debt Adjustment' is useful in cases, when:
- You need to write off debt of Customer
- Adjust accounts receive from Customer
Create a Mutual Settlement document and choose Transaction Type Customer Debt Adjustment and fill Customer:
Case 1: Adjustment of Advances Received
In case, if you need to write off overpayments of advances:
As received advance is considered for entity as gain, then choose Account - Other Operating Income (Income Item is populated automatically):
At the Accounts Receivable tab, use the button Pick for choosing a document, double-click on the document, then press OK:
Post Mutual Settlement document - debt will be settled:
Case 2: Adjustment of Accounts Receivable
In case, if you need to write off unpaid debt of a Customer:
As adjustment of the customer debt is considered for entity as loss, then choose Account - Other Operating Expense (Expense Item is populated automatically):
At the Accounts Receivable tab, use the button Pick for choosing a document, double-click on the document, then press OK:
Post Mutual Settlement document - debt will be settled:
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