Wednesday, October 15, 2014

Credit Memo and Debit Memo in Oracle Receivables


Credit Memo:  These will reduce the customer balance.

Let us create a ‘transaction type’ for a credit memo
Setup à Transactionsà Transactions
Select the class as ‘credit memo’ and creation sign as ‘negative’


Now let us create a source for the above created transaction type and map the above created transaction type to this source


Debit Memo:  These will increase the customer balance.
Let us create a ‘transaction type’ for a credit memo
Setup à Transactionsà Transactions
Select the class as ‘dedit memo’ and creation sign as ‘positive


Now let us create a source for the above created transaction type and map the above created transaction type to this source


Go to ‘account details’ window and check for the balance due from customer

Here we can see the customer balance in total is ‘130100’
Now create a credit memo transaction
Transactionsà Transactions


Select the ‘credit memo source’ which we have created and click on line items
Enter the amount in ‘negative sign’

Now complete the transaction.
Do the accounting for the transaction
Below is the accounting entry


Go to ‘account details’ window and check for the balance due from customer.
Where in we can see the change in balance


Now create a debit memo transaction
Transactionsà Transactions


Select the ‘credit memo source’ which we have created and click on line items


Now complete the transaction.
Do the accounting for the transaction
Below is the accounting entry


Go to ‘account details’ window and check for the balance due from customer.
Where in we can see the change in balance


Earlier we have seen how to apply a credit memo to a customer. Now we will see how to apply a credit memo to a ‘transaction’
Transactions à Transactions
Query a ‘transaction’
Go toà Actionsà Credit
Enter the ‘credit memo source’ and click on ‘credit lines’

Enter the amount in negative

Complete the credit memo transaction.
DO the accounting

1 comment:

Unknown said...

Can debit memo be used against Deposit invoice for application

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