Creating single currency adjustment voucher

This page allows you to create the single currency adjustment voucher. Tell me more.

Select the “Create Single Currency Adjustment” link under the “Customer Balance Adjustment” business component.

The “Create Single Currency Adjustment” page appears.

Enter the following fields in the “Voucher Information” group box:

Voucher #

A unique number identifying the customer adjustment voucher (Alphanumeric, 18). This number will be automatically generated if the “Numbering Type” is not set to “Manual”. The number is displayed with the corresponding prefix and suffix of the numbering type selected in the “Numbering Type” field. The number is incremented from the last number available in the “Document Numbering Class” business component.

The system displays the following:

Status	The status of the customer balance adjustment voucher. It could be
	Fresh – The adjustment voucher at the time of creation is in “Fresh” status. The adjustment vouchers are created in the “Fresh” status on clicking the “Create Voucher” pushbutton.
	Deleted – The adjustments when deleted is in “Deleted” status. The adjustment vouchers are deleted in the “Edit Single Currency Adjustment” or “Edit Multi Currency Adjustment” activity.
	Authorized – The adjustment voucher after authorization is in “Authorized” status. The authorized adjustments cannot be modified or deleted. The adjustments are authorized in the “Authorize Adjustment Voucher” activity. The vouchers can also be authorized by clicking the “Create And Authorize Voucher” pushbutton in this page.
	Reversed – The authorized adjustment voucher when reversed is in the “Reversed” status. The voucher can be reversed in the “Reverse Adjustment” activity.
	Returned – When the adjustment voucher is rejected, then the voucher is in “Returned” status. The vouchers can be returned in the “Authorize Adjustment Voucher” activity. The vouchers are again updates to “Fresh” status in the “Edit Single Currency Adjustments” activity.

Enter the following fields:

Voucher Date	The date on which the customer adjustment vouchers are to be created (Date Format). Mandatory. The voucher date must be equal to or earlier than the system date. The system displays the system date by default.
Finance Book	Use the drop-down list box to select the code identifying the finance book to which the adjustments must be posted. The finance books must be defined in the “Create Finance Book” activity of the “Organization Set Up” business component. All the finance books mapped to the login organization units are available in the ascending order for selection. The system displays the default finance book, specified in the functional default for the adjustment business component in the login organization unit. If no default finance book is set in the function default, then first finance book available in the drop-down list box is set by default. The credit documents raised in this FB would only be available for adjustment
Numbering Type	Use the drop-down list box to select the numbering type for the login organization unit and the “Customer Balance Adjustment” transaction type. The numbering types must have already been defined in the “Create Numbering Class” activity of the “Document Numbering Class” business component and must be in “Active” status. The system displays the numbering type set as default for the transaction in the “Document Numbering Class” business component. You can also select “Manual” if you want to enter a voucher number.

Enter the following fields in the “Customer Information” group box:

Customer Code	The code identifying the customer (Alphanumeric, 18). The customer must be defined in the “Create Customer” activity of “Customer” business component.
	Press <Enter> key.
	The system displays the customer based on the customer code.
	Help facility available.
Customer Name	The name of the customer.
Customer Hierarchy	Use the drop-down list box to select the hierarchy in which the debit documents must be adjusted. The customer hierarchies are defined for the customer in “Customer” business component. The various hierarchies available are
	Local – Indicates that the adjustments are made for the same customer. The credit and the debit document are for the same customer and the adjustment is made for the same.
	Child – Indicates that the adjustment is made between the parent customer credit document and the child customer debit document. The credit document customer must be defined as a parent in the “Customer” business component for the debit document customer. All the child customers are retrieved for adjustments for which the credit document customer is defined as the parent customer.
	Group – Indicates that all the customers belonging to the “Receipt Application Group” in the “Customer” business component are taken up for adjustments. If the credit document customer belongs to one particular group, then all the debit documents of the customers belonging to that group are retrieved for adjustments.
	The system displays “Local” by default.
Currency	Use the drop-down list box to select the transaction currency of the credit document, which is mapped to the login organization unit. The currency must be defined in the “Create Currency and Country” activity of the “Organization Set Up” business component. The system defaults the base currency by default if the base currency is loaded in the drop-down list box.

Note: The customer information currency and the credit document currency must be the same.

Adjustment Sequence	Use the drop-down list box to select the sequence in which the vouchers have to be adjusted. The options available are
	FIFO – First in first out. Indicates that the earliest credit and the debit document must be taken up for adjustments in descending order of date / due date.
	LIFO – Last in first out. Indicates that the latest credit and the debit document must be taken up for adjustments in ascending order of date / due date.
	The system displays the “FIFO” by default.

Note: The system sorts the credit and the debit document based on the adjustment sequence selected. Credit document details can be fetched either by taking help on documents or by selecting the document type and entering the document number

Enter the following fields in the “Credit Documents” multiline:

Document Type

Use the drop-down list box to select the credit documents that has to be adjusted. The various documents available are “Receipt Voucher”, “Prepayment Invoice”, “Account Based Credit Note”, “Customer Prepayment Credit Note”, “Item Based Credit Note”, and the “Transfer Credit Note”. The system displays the “Receipt Voucher” by default on launch of the page.

Note: The system retrieves the credit document details of the document type “Receipt Voucher” or ”Item Based Credit Note” or “Account Based Credit Note” or “Transfer Credit Note”, only if the document is in the “Authorized” or “Partly Adjusted” status.

The system retrieves the credit document details of the document type “Prepayment Invoice” or “ Transfer Prepayment Invoice” or “Customer Prepayment Credit Note”, only if the document is in “Paid” or “Partly Paid” or “Partly Adjusted”, or “Authorized” status. This condition is applicable if “Adjustment of Prepayment Invoice (Cr.) before receipt” is set as “Allowed” in the “Set Function Defaults” activity.

The system retrieves the credit document details of the document type “Prepayment Invoice” or “Transfer Prepayment Invoice” or “Customer Prepayment Credit Note”, only if the document is in “Paid” or “Partly Paid” or “Partly Adjusted” status. This condition is applicable if “Adjustment of Prepayment Invoice (Cr.) before receipt” is set as “Not Allowed” in the “Set Function Defaults” activity.

Document #	The number identifying the credit document (Alphanumeric, 18).
	Help facility available.
	Press <Enter> key.
	The system displays the currency code, billing point, document amount, document date, exchange rate, finance book, receipt type, and unadjusted amount based on the document type selected and the number entered.

The system displays the following fields:

Document Date	The date on which the credit documents was raised.
Document Amount	The credit document amount.
Unadjusted Amount	The unadjusted amount pending for adjustments.

Enter the following field:

Current Adjustment

The total unadjusted credit amount to be adjusted with the debit document (Decimal). Mandatory. During the ‘Propose” adjustment the system does not recognize any value entered for current adjustment. However during compute, create and create and authorize adjustment the system consider the value to calculate the adjustment.

Note: The current adjustment must be less than or equal to the credit document unadjusted amount The system displays this field on proposing the adjustments.

The system displays the following fields:

Currency

The transaction currency of the credit documents.

Note: The document currency and the currency in the customer information must be the same.

Exchange Rate	The exchange rate of the transaction currency with the base currency as of the credit document date
Receipt Type	The receipt category can be “AR receipt” or “Advance” or “Other” if the credit documents type is “Receipt Voucher”. Receipt types are Regular Advance and Deposits.
Billing Point	The login organization unit where the credit documents were raised.
Finance Book	The code identifying the finance book in which the credit documents like “Receipt Voucher”, “Prepayment Invoice”, “Item Based Credit Note”, “ Account Based Credit Note”, and “Transfer Credit Note” are posted.

Note: The voucher finance book and the credit document finance book must be the same. Debit document details can be fetched either by taking help on documents or by selecting the document type and entering the document number

Enter the following fields in the “Debit Document” multiline:

Document Type

Use the drop-down list box to select the debit document for adjustments against the credit document. The various debit documents available are “Account Based Debit Note”, “Item Based Debit Note”, “Direct Invoice”, “Miscellaneous Invoice”, “Prepayment Invoice”, “Pack Slip Invoice”, “Transfer Debit Note”, “Service Invoice”. The system displays the “Order Based Invoice ” by default.

Note: The system retrieves the debit document details of the document type Prepayment invoice if it is in Authorized or Partly paid status. For payment vouchers in Paid or Partly adjusted status.

The system retrieves the debit document details of the document type “Account Debit Note” or “Item Based Debit Note” or “ Transfer Note” or “ Direct Invoice” or “ Miscellaneous Invoice” or “Pack Slip Invoice” or “ Service Invoice ”, only if the document is in “Authorized” or “Partly Paid” status.

Document #	The number identifying the debit document (Alphanumeric, 18).
	Press <Enter> key.
	The system retrieves the customer code, currency code, billing point, unadjusted amount, document date, discount date, exchange rate, finance book and the term number based on the document type selected and the number entered.
	Help facility available.

The system displays the following:

Due Date

The date on which the debit documents is due for payments. The system displays the due date.

Note: The debit document date must be less than or equal to the voucher date.

Unadjusted Amount

The unadjusted debit amount remaining to be adjusted with the credit amount.

Note: The total unadjusted amount for the selected debit documents is greater than the total unadjusted credit amount, then the unadjusted amount is carried forward for adjusting with the next credit document.

Customer Code

The code identifying the customer as defined in the “Customer” business component.

Note: If the customer hierarchy is set to “Local”, then the customer code in the customer information must be the same as the debit document customer code. If the customer codes are not the same, then the customer hierarchy must have been set to “Child” or “Group”.

Currency

The transaction currency of the debit documents.

Note: The customer information currency and the debit document currency must be the same.

Exchange Rate

The exchange rate of the transaction currency, as of the debit document date.

Enter the following fields:

Adjustment Amount

The total unadjusted debit amount to be adjusted with the credit amount (Decimal). Mandatory. The amount must be greater than zero. During the ‘Propose” adjustment the system does not recognize any value entered for Adjustment Amount. However during compute, create and authorize adjustment the system consider the value to calculate the adjustment.

Note:. The debit document adjustment amount must be less than or equal to the debit document unadjusted amount. If the unadjusted credit amount is less than the debit amount for a document, then the system displays the minimum amount on proposing adjustments.

Discount

The discount amount available for the adjustment of debit document (Decimal). The discount must be greater than zero and must be less than or equal to discount available.

Note: The system computes the discount, if the debit document is other than the “CP”.

Charges

The penalty amount charged on the debit documents for the delay in payment (Decimal).

Note: The system displays the adjustment amount, discount and the charges in the respective fields on proposing the adjustments.

The system displays the following fields:

Proposed Discount	Initially the proposed discount is zero. The system calculates the discount based on adjustment type, document dates and discount parameter namely discount rate, discount proportional or not set for the debit document.
Proposed Charges	The proposed charges for the debit document. Initially the proposed charges are zero. The system calculates the charges based on adjustment type, document dates and penalty rate set for the debit document.
Discount Date	The discount date is earlier than the due date for any debit document. The date, before which the debit document has to be settled to avail the specified discount.
Billing Point	The login organization unit where the debit documents has been raised.
Document Date	The date on which the debit documents has been raised.
Term Number	The number identifying the installment due for payment. This number is generated as part of the debit document.
Finance Book	The code identifying the finance books, in which the debit documents like “Item Based Credit Note”, “ Account Based Debit Note”, “ Direct Invoice”, “ Miscellaneous Invoice”, “ Prepayment Invoice”, “ Pack Slip Invoice “ Payment Voucher”, “Transfer Debit Note”, “ Service Invoice” are posted.

Enter the following fields:

Cost Center	The code identifying the cost center in which the discount and charges accounts are mapped (Alphanumeric, 10). The cost center must be defined in the “Create Cost Center Element” activity of the “Cost Setup” business component. Smart search enabled.
	Help facility available.
Analysis Code	The code identifying the analysis (Alphanumeric, 5). The analysis code must be defined in the “Create Analysis Code” activity of the “Account Based Budget” business component. The code for the discount and charges accounts. Smart search enabled.
	Help facility available.
Sub Analysis Code	The code identifying the sub analysis mapped to the analysis code (Alphanumeric, 5). The sub-analysis code is created and assigned to the analysis code in the “Assign Sub-Analysis Code” activity of the “Account Based Budget” business component. The code for the discount and charges accounts. Smart search enabled.

Note: The system sorts the credit and the debit document based on the document dates in the ascending or the descending order based on the adjustment sequence specified.

Check the box in the “Credit Document” multiline to mark the credit document for adjusting with the debit document.
Check the box in the “Debit Document” multiline to mark the debit documents for adjusting against the credit documents.

Note: Ensure that all the selected documents in the “Credit Documents” and “Debit Documents” multilines are either forward cover applicable or not forward cover applicable. This infers that you cannot have a selection that includes both forward cover and non-forward cover documents.

Note: Ensure that the currency of the selected credit documents is the same as that of the selected debit documents.

Note: Ensure that the exchange rate of the selected credit documents is the same as that of the selected debit documents, if “Accounting for Hedge Gain/Loss” is set to “Fixed Rate” in the Company Parameter Setup component.

Note: At least one document must be checked for adjustments in both the multilines.

Click the “Propose Adjustment” pushbutton to calculate the proposed adjustment amount.

The system calculates the current adjustment amount for the credit document. The system calculates the adjustment amount, discount and charges for the debit amount.

See proposing adjustment amount for more details.

The system displays the following fields in the “Adjustment Summary In Credit Doc. Currency” group box:

Note: The system displays all the values in the transaction currency of the credit document.

Debit Doc Adjustment Amount	The system displays the sum of the cumulative debit document adjustment amount.
Discount Allowed	For the selected debit documents, the system calculates the discount allowed as the sum of all the cumulative discount.
Charges Collected	For the selected debit documents, the system calculates the charges collected as the sum of all the cumulative charges.
Total Receipt Amount Adjusted	The sum of all the cumulative current adjustment for the selected credit documents.

Click the “Compute Adjustment” pushbutton to compute the debit and the credit adjustment amount.

The system computes the adjustments details.

See Computing Adjustment amount for more details

See Example

Click the “Create Voucher” pushbutton to create the single currency adjustment voucher.

The system updates the status of the customer adjustment to “Fresh”.

The system updates the login ID of the user to the “Created By” and the system date to the “Created Date” field.

For the Adjustment Vouchers selected for authorisation, If the credit document is of type “Prepayment Invoice” and if the selected Prepayment Invoice have any taxes, the system transfers the tax amount (proportionate to adjustment amount) to the TCD account or to Expenses account based on the option set in the “Set Function Defaults” activity.

The tax amount to be transferred to Expense account or to TCD Account will be computed proportionately:

Tax Amount to be Expensed Off or to be Transferred to TCD Account

Prepayment Invoice Tax / Total Prepayment Invoice Amount

Current Adjustment Amount against the Prepayment Invoice

Click the “Create And Authorize Voucher” pushbutton to create and authorize the adjustment voucher.

The system creates the voucher and updates the status to “Authorized”.

The system displays the following fields:

Create By	The login ID of the user who created the customer adjustment.
Created Date	The date on which the customer adjustment vouchers is raised.

To proceed, carry out the following

Select the “Edit Voucher” link at the bottom of the page to modify the adjustment voucher.
Select the “Accounting Information” link at the bottom of the page to view the accounting information.
Select the “Account Based Credit Note” link at the bottom of the page to view the account based credit note details.
Select the “Account Based Debit Note” link at the bottom of the page to view the account based debit note details.
Select the “Authorized Prepayment Invoice” link at the bottom of the page to view the authorized invoice details.
Select the “Direct Invoice” link at the bottom of the page to view the direct invoice details.
Select the “Item Based Credit Note” link at the bottom of the page to view the item based credit note details.
Select the “Item Based Debit Note” link at the bottom of the page to view the item based debit note details.
Select the “Service Invoice” link at the bottom of the page to view the service invoices details.
Select the “Paid Prepayment Invoice” link at the bottom of the page to view the prepayment invoice details.
Select the “Payments” link at the bottom of the page to view the payment voucher details
Select the “Receipts” link at the bottom of the page to view the receipt voucher details.
Select the “Transfer Debit Note” link at the bottom of the page to view the transfer debit note details
Select the “Transfer Prepayment / Credit Note” link at the bottom of the page to view the transfer prepayment / credit note details.

Creating single currency adjustment voucher – An overview

You can select the debit and the credit document in this page for adjustment. You can also authorize the adjustment voucher created. The numbering type of the adjustment voucher can be manual or it can be generated automatically based on a predefined series. The voucher number is generated based on the numbering type selected. You can also specify the finance book in which the adjustment voucher is to be posted. You can specify the customer hierarchy based on which the debit documents have to be adjusted.

Customer Hierarchy

Local - Indicates that the adjustments are made for the same customer.
Child - Indicates that the adjustment is made between the parent and the child customer, that is, the debit documents can be of child customers for which credit documet customer is the parant .
Group - Indicates that all the customers belonging to the “Receipt Application Group” in the “Customer” business component are taken up for adjustments.

The adjustment can also be made based on the adjustment sequence specified.

Adjustment Sequence

FIFO– First in first out. Indicates that the earliest credit and the debit documents are taken up for adjustments in descending order of date/due date.
LIFO – Last in first out. Indicates that the latest credit and the debit documents are taken up for adjustments in ascending order of date/due date.

You can select the “Receipt Voucher”, “Prepayment Invoice”, “Account Based Credit Note”, “Item Based Credit Note”, and the “Transfer Credit Note” as a credit document to adjust it against the debit document. The various debit documents available are “Account Based Debit Note”, “Item Based Debit Note”, “Direct Invoice”, “Miscellaneous Invoice”, “Prepayment Invoice”, “Pack Slip Invoice”, “Payment Voucher”, “Transfer Debit Note”, “Service Invoice”. You can take help of credit and debit documents to fetch the same in the corresponding multiline. Alternatively, the documents can be fetched by selecting the document type and by entering the document number. On enter of the document, the system displays the document details. The system displays the date on which the documents were raised, the total unadjusted amount pending for adjustment and the amount of the document. The system displays the login organization unit in which the debit or the credit documents were raised. You can also allow the system to propose the adjustment amount. The system displays the adjustment amount, discount claimed on the document and the penalty charged on the document on proposing the adjustment amount. The system also displays the finance book in which the adjustment voucher is posted and it is same as that of the credit document finance book. You can also specify the code identifying the cost center, the code identifying the analysis and the sub-analysis for discount or charges computed for the debit document. This page allows you to compute the adjustment amount.

The system updates the status of the voucher to “Fresh” on creation and “Authorized” on authorizing the voucher. The system updates the login ID of the user to the created by and the system date to the created date.

Prerequisites

The customer must be defined in the “Customer” business component.
Numbering type must be defined in the “Document Numbering Class” business component.
Finance book must be defined in the “Organization Set Up” business component.
Currency must be defined in the “Organization Set Up” business component.
The cost center must be defined in the “Cost Setup” business component.
The analysis code must be defined in the “Account Based Budget” business component.
The sub analysis code must be created and assigned to the analysis code in the “Account Based Budget” business component.
Financial calendar must be defined in the “Accounting Setup” business component.
Availability of at least one open debit and credit document for Adjustment.

What you can do in this page

Adjustment based on the customer hierarchy

Adjusting the document based on the sequence specified

Proposing adjustment amount

Computing adjustment amount

Adjustment based on the customer hierarchy

Set the option to “Local” in the “Customer Hierarchy” field to adjust the documents of the same customer.
Set the option to “Child” in the “Customer Hierarchy” field to adjust the credit doc customer (parent) and the debit doc of child customer.
Set the option to “Group” in the “Customer Hierarchy” field to adjust the customers belonging to the “Receipt Application Group”, where the credit doc customer is also a member.
Enter all the necessary information and select the debit and the credit documents for adjustment.
Click the “Create Voucher” to create the adjustment voucher.

Adjusting the document based on the sequence specified

You can select the documents for adjustments based on sequence specified. The system sorts the documents based on the adjustment sequence provided before actual adjustment.

Set the “Adjustment Sequence” field to “FIFO” to select the earliest credit and debit documents for adjustment. In descending or date / due date
Set the “Adjustment Sequence” field to “LIFO” to select the latest credit and debit documents for adjustment in ascending order of date / due date.

Proposing adjustment amount

Select at least one debit and a credit document.
The system takes into account the receivable grace days, discount grace days, residual write off amount and residual write off % defined for the debit doc customer while calculating the adjustment
For each set of credit and debit document, the system computes the adjustment, by comparing the unadjusted amount of the credit document with the unadjusted amount of the debit document including the discount available if any for the debit document..
The system compute the actual discount date, which is the discount date + discount grace days. The date, which includes the extra days within which the discount can be availed.
The system compute the actual due date which is due date + receivable grace days. The date, which includes the extra days within which the payment has to be made, so that no penalty charges are levied.
For the selected documents set, the system compares the credit document date with the debit documents’ actual discount date. If actual discount date is earlier than or equal to the credit document date, then the system calculates discount. If the credit document date is later than the actual due date, then the system calculates the charges. However if the credit document date is less than the actual due date but later than the actual discount date, then no discount or penalty charge is calculated.
Further the discount computation depends on the ‘Discount Proportional’ flag. If this flag is set to yes, then pro-rata discount can be calculated. If the flag is set to no, then discount can be allowed only if the entire amount of debit document for a payment schedule is settled.
If any balance left either in the debit document or credit document, after the adjustment, the same is carried forward to the next iteration. For all the selected debit and credit document, the adjustment is computed after sorting them in the adjustment sequence.

Computing adjustment amount

The compute is same as the above, excepting instead of unadjusted amount and discount available the system consider the amount available in the edit fields of current adjustment, adjustment amount, discount and charges.

Residual write off

If the debit document is the last pay term line number and if no further credit documents is available for adjustment, then compute residual write off as (debit document unadjusted amount – cumulative debit document adjusted amount). The same is compared with the residual write off amount specified for the customer in customer master. Further residual write off amount is computed by multiplying the residual write off % and the debit document amount. Then the balance debit document amount is compared with these two amounts. If the balance debit document amount is less than or equal to these two amounts, then the balance debit document amount is written off as expenditure as residual write off.