There should not be a liability account Cr again upon applying the prepayment to standard invoice, it is just that AP Accrual Dr Prepayment Cr. so the final entry that remains will be AP Accrual Dr Cash Cr so you don't have any liability on your after applying prepayment.
In the first setp: as per rule "Debit... what comes in " - here the items are coming from sub inv to staging area then why its getting credited ? shouldnt it be debited ?
Very clear and simple explanation to understand application entries.. .. thank you.. please do more videos
Great session sir.
When will Deferred CoGS account will get hit?
There should not be a liability account Cr again upon applying the prepayment to standard invoice, it is just that AP Accrual Dr Prepayment Cr. so the final entry that remains will be AP Accrual Dr Cash Cr so you don't have any liability on your after applying prepayment.
In the first setp: as per rule "Debit... what comes in " - here the items are coming from sub inv to staging area then why its getting credited ? shouldnt it be debited ?
U r correct
Yes, I was hammering my brain since an hr because of this question.
Please share payables to fixed assets accounting
Sure I will
voice clarity is required should be more clear, lot of up and downs fast and slow.
Sure will take care of it