Purchase returns are recorded with a Vendor credit memo document.

A Vendor credit memo may be created based on a Bill. In this case most of the purchase return fields are automatically filled from the Bill. However, a Vendor credit memo may also be created from scratch.

Create Vendor credit memo from a Bill #

1. Navigate to the Bill.
2. Click the Generate button and choose Vendor credit memo.
3. Enter Ref # (optional).
4. Select the type of return – Refund (if you want your payment back) or Credit memo (if you want the refund amount to be credited to your account).
5. If returning a partial order, change the quantity being returned.
6. Click Save to Save a draft or Post and Close to finish the Purchase Return.

Accounting #

Recording a Purchase return creates the following transactions in the General Journal:

• Debits: Accounts Payable
• Debits: Inventory purchase variance account (the difference may arise, as the credit amount in inventory is calculated according to the costing method set in the Item)
• Credits: Inventory Account (for inventoried items) or Expense Account (for non-inventoried items)
• Credits: Incoming VAT (if applicable)

Refund Receipts #

You can generate a refund receipt directly from your Vendor credit memo if you have selected the Refund type.

Apply Vendor Credits #

If you have received a credit from a vendor, overpayment or other reason, there will come a time when you need to use that credit on a Bill.  This is accomplished with the Apply Vendor Credits feature. Using this feature you will be able to apply the credits to the unpaid Bill(s) of your choice.

Apply Vendor Credits #

1. From the Apply Vendor Credits list screen, Click Create / New.
2. Enter the Vendor name.
3. In the lower half of the screen will be two lists:   Outstanding Purchase Documents and Outstanding Vendor Credits.
4. Check the checkboxes next to the bills and the credits you would like to apply to the balance.
5. Totals of checked bills and checked credits will appear at the bottom on the list.
6. The difference between the amount applied of the checked credits and the amount applied of checked Purchase Documents will be listed near the top. The difference must be zero before saving.  To balance, adjust the amount applied on the bills until the amount applied equals the amount of the credit (or the amount of the credit to apply).
7. Click Save and Close.

Visual status indicators #

The status indicators in AccountingSuite help users gain a clear overview of the order processing stages within both sales and purchase cycles. By simply glancing at these indicators, users can instantly determine the status of an order without the need to check each one individually. The combination of colors and fill provides a quick and efficient way to understand where each order stands.

In AccountingSuite, there are three distinct colors used to represent status: red, yellow, and green. Each color carries a specific meaning:

• Red indicates that the order is experiencing issues, delays, or is marked as critical.
• Yellow suggests that the order is in progress but might require attention or is awaiting further action
• Green signifies that the order is completed or moving smoothly through the cycle.

The type of indicator depends on the status:     

• Empty Circle
• Partially Filled Circle
• Filled Circle

However, the color of the indicator is not solely determined by the status, but rather by the date and whether the document is being completed on time or late. For example, Partially Shipped will always be represented as a partially filled circle, while the color will depend on the deadline:

• Green for on time
• Yellow for approaching the deadline
• Red for overdue

This visual system streamlines monitoring and enhances efficiency by enabling quick decisions and prioritization, ensuring that all orders are managed effectively.

Icon	Description
	The purchase return or vendor credit has been initiated but no actions or steps have been completed yet, indicating it is still in the early stages of processing.
	Some actions have been taken in processing the return or credit, suggesting that the order is currently being worked on but is not yet fully resolved.
	The purchase return or vendor credit has been fully processed and finalized, with all necessary steps completed and no outstanding issues remaining.
	The return or credit request is pending further action or approval, indicating that it requires additional information or a decision to move forward.
	The return or credit has been partially reviewed, but it still requires further verification or approval before it can be fully processed.
	The purchase return or vendor credit has been flagged as rejected or put on hold, indicating that it requires a detailed review or modification before proceeding.
	The return or credit request has significant issues that need urgent attention, suggesting that immediate action is required to resolve the identified problems.