Posting of IR and GR

[Former Member]

Dear Expert,

I would like to understand the posting of GR and IR in PO.

Sample as follows:

PO amount  = MYR 4680   (1 pc)

GR amount  = MYR 4680   (1 pc)

Double entry upon posting:

Dr. Exp Ac1     MYR 4680

Cr GR/IR Ac    MYR 4680

IR amount    = MYR 4320 ( less due to discount given) (1 pc)

Double entry upon posting:

Dr. GR/IR Ac     MYR 4680

Cr  Vendor       MYR 4320

Cr  Exp Ac1     MYR  360

In term of Finance,  the entry are tally. However when I view in PO History tab in the PO itself, there is balance of MYR 360. So do at the Status tab of the PO.

In this case, may I know is this the correct posting? Or is there any other way to perform the GR? In order to close this PO, do we need to do force closing by ticking the Final Invoice indicator?

Kindly advise.

Thank you.

[Prasoon]

Hi,

   The postings seems to be correct. You may refer the note: 308008 - FAQ: Posting logic: GR/IR clearing account which explains the posting logic.

Regards,

AKPT

[abumohammad_shoyeb]

Hi,

You charged 4680 on Material and liability created on vendor 4320. So 360 amount has been more charged on material. Now you can do MIRO again for your 360 amount and charged to your material. So material value will be decrease.

Best Regards,

Shoyeb

[Former Member]

Hi,

Thanks for input , But there is only issue is both GR and IR amount are diff. But the Material price will reduce after posting of  IR and diff amount will post in price diff account.

if any further query then reply us

regards

KK

[former_member183424]

1st question is why invoice amount lower than GR amount..

Only that's the reason, system is showing a different amount in PO history.

You GR value was 4680 but invoice amount is 4320. You can see the rest amount has gone to inventory account..

I am quite sure you have changed the price after GR done..

Your system is showing perfect as per your entry.. If you want to see the same amount for GR and IR in PO history, then you have to post the same value for IR against GR.

[Former Member]

Hi,

Thank you for your input. As mentioned above, the IR amount is lesser than GR due to discount.

In this case, what is the correct entry upon IR? Can you show me the steps to perform?

Thank you.

[former_member183424]

In simple step, the correct process is what ever the GR amount is posted for the PO, you should post Invoice amount as same as GR amount.

In your case, if you find the IR amount is different than GR amount, then you should cancel the GR, then again post the GR after changing the price.

Suppose, you have created a PO with amount 4680, then you have posted GR with amount 4680. But you've got invoice for amount 4320. Now you should cancel the GR and then change the PO amount as 4320 and then again do GR with amount 4320, then do invoice for amount 4320.

Then check your PO history. It will be shown as balanced.

[Former Member]

Please check GL account posting in the system, is it post properly as per your company GL mapping?.

If not, plz map right way.