Multiple Credit Memo for an AR invoice

[Former Member]

Questions:

1.) Is it possible for an AR Invoice to have more than one AR Credit Memo?

2.) Is it possible for a "PAID" AR Invoice to still have a AR Credit Memo?

3.) Lastly, is it possible for an AR Invoice to reduce its amount "PER ITEM" by AR Credit Memo?

Thanks,

[Former Member]

Hi Nagesh,

.1.) Is it possible for an AR Invoice to have more than one AR Credit Memo?

The credit memo is the clearing document for the invoice and for the returns. If the goods were delivered to the customer and an invoice has already been created, you can partially or completely reverse the transaction by creating a credit memo

*When I partially reversed an amount (and not the inventory), it also reversed the inventory. What I need is to reduced only the amount of the AR invoice. At some point in time, another AR Credit Memo is needed again for the same AR Invoice to further reduce its amount. Is this possible?

Using the AR Credit Memo by Service is definitely not what my client is looking for because they need the actual price per item for the AR invoice.*

2.) Is it possible for a "PAID" AR Invoice to still have a AR Credit Memo?

I dont think you can do this. Simply because payment aginst the Invoice has been made. An A/P invoice needs to be raised again.

I need to think of a workaround to do this because my client usually accepts expiring items after a few years an item was sold and paid. Any suggestion?

3.) Lastly, is it possible for an AR Invoice to reduce its amount "PER ITEM" by AR Credit Memo?

Yes because partial settlement is possible

How to go about it? I need to reduce ONLY the AMOUNT of the item in AR Invoice but the item was NOT ACTUALLY RETURNED.

Many thanks,

[former_member583013]

Joel,

Ans 1: Only through a Service credit memo will you be able to do this. If you copy an Invoice to a Credit memo, the SAP functionality is to reverse the Invoice and being Inventory back to stock. A credit memo is a complete reversal of the Sale

Ans 2: For this the only way to handle this would be to create a Return document for the Item and then copy it to a credit memo.

An Invoice paid becomes an Incoming Payment which later is deposited and is realized in the Bank. If you are talking about copying an Invoice to a CM, you will have to reverse each and every transaction which coud be practically impossible.

Ans 3: The situation is the same as in my Ans 1 there this is not possible

Best wishes

Suda

[former_member1190345]

Hi Joel,

For Question no. 1 and 3 If you meant reversal of an A/R Invoice without reverasl of stock then it's not possible in SAP B1. The A/R credit memo reverses both stock and amount.

For Question no. 1 can you give me more details about the scenario ...I will see what I can do.

Nagesh.

[former_member1190345]

Joel,

.1.) Is it possible for an AR Invoice to have more than one AR Credit Memo?

The credit memo is the clearing document for the invoice and for the returns. If the goods were delivered to the customer and an invoice has already been created, you can partially or completely reverse the transaction by creating a credit memo

2.) Is it possible for a "PAID" AR Invoice to still have a AR Credit Memo?

I dont think you can do this. Simply because payment aginst the Invoice has been made. An A/P invoice needs to be raised again.

3.) Lastly, is it possible for an AR Invoice to reduce its amount "PER ITEM" by AR Credit Memo?

Yes because partial settlement is possible

Nagesh

.

[Former Member]

By the way, I an using version 2005A SP01.

Thanks,