How are deposits are handled by VMMS?
Typical sales order with a deposit A. Customer puts partial deposit on an order (order remains open DO NOT VERIFY) B. When Sales Order Post to AR is done, the GL is updated as follows: – Deposit Account is credited with the deposit dollar amount – Cash Account is debited with the deposit amount C. Once all the material has been received by the customer, Sales Order can now be verified and billed. 1. The amount remaining after the deposit can either be paid by cash, check or charge or put on customers account 2. If the deposit happens to be more than the final total, the difference can be refunded as cash, check or charge or put on customers account. When the Verified order is posted in Daily Work, the GL is updated: – Deposit Account is debited with the original deposit amount – Sales Accrual account is Credited with the entire sales amount (including the original deposit amount) – Either the Cash account or the AR control account is debited with the remainder after the deposit (depend
