There are times when customer is giving the coupon/indent to the petrol-pump but not willing to lift the goods at that time, just to complete his quota, but will take the delivery of the goods in the future. This can happen in case where company is giving quota to their employees but employee is not completing his quota in the given month, instead he will opt to get the cash or will lift the goods in future.
In the given situation following entries to be entered in the ArtRMPP
Lets assume MR. RAM working for ABC company (A/c# 000021) and he is allowed the quota of petrol worth Rs.10,000/- every month. He has already purchased goods worth Rs.6,000/- and month is already completing, under given situation he will provide you the coupon# 12345 for balance Rs.4,000/- on lets say 27th Sept, 2010 and says that he will take the fuel worth Rs.4,000/- say in the next month.
In the above case user has to pass the normal slip entry (Keyboard Shortcut – F6) for Rs.4,000/- for the coupon that customer is giving as usual. On entering the slip through credit slip entry, the ArtRMPP actually post the entry as follows:
On the same day, you need to post JV (Journal Voucher) Entry for the same amount on the same day, so as to show as Advance Received from the customer by creating the “ABC Advance” customer account or RAM/ABC Account with (A/c# 000521) and pass the following entry:
With this we are actually reversing the sales entry, for which the goods have not been issued, so that sales amount actually does not increase.
When Mr.RAM actually takes the delivery of the fuel against the advance slip given the slip to be entered as usual but not in ABC account but ABC Advance account (A/c# 000521) as this time he is not bringing the coupon but demands the fuel for the advance slip that he had given on 27th Sept
Lets say he lifts good on 2, 15th Oct or as actual
With this, when you check the ledger for A/c# 000521, ABC Advance A/c then it will actually show you how much worth of fuel has been actually given to him and how much is still balance in his advance account without affecting the actual / parent customer account A/c# 000021.
CASH GIVEN TO DRIVER
Also in some cases instead of Fuel sometimes the cash is given to the Truck Driver as instructed by the truck owner, in such a cases the Cash Given is actually reducing the cash from the cash box and customer is to be debited for the cash given to him and in some cases even to be shown in the bill then following entry is to be passed.
If the customer is separately paying the cash for the advance cash given then simply Cash Payment voucher will do the job, but if customer insists to let the cash given appear in the Bill/Invoice then you need to create the Item in the Item Master / Product Master (Keyboard Shortcut Key F2) as CASH GIVEN but sub category should be selected as Service Item, as actually there is no physical delivery of any goods, so it should not affect the stock of any product. While entering the Credit Slip / Coupon entry, along with the normal fuel and oil sale also select the Item CASH GIVEN with quantity as 1 no and Value /Rate of the Item as actual cash amount given. When generating the Invoice it will automatically show the cash given information in the bill for in the said slip for customer to pay.
But when you try to tally your cash, it will not tally with actual cash as generated through Auto Cash, because you have actually given cash / advance to customer/driver, which can be shown as expenditure but then it will appear as expenditure in profit and loss account, which can be questioned.
Other alternative is enter one more entry for the value of advances given for the day and show it in Slip Entry – > Cash Sales so as to reduce the Auto Cash Sales to the tune of Advances given for the day.
Filed under: FAQ | Tagged: A/c, Account Number, advance customer, advances, Auto Cash Sales, Cash given, Cash Sales, Cash Slips, Company, coupon, Credit Sales, customer, Driver, Employee Quota, fuel dispenced, fuel item, Future Delivery, indents, Inventory, Journal, JV, Profit and Loss, Reduce cash, Reduce Inventory, scheduled delivery, Service Item, Slip Item, slips, Voucher |