Table of Contents
Sales Return - Exports
- Approve
- POST to GL
- Settlement
APPROVE (Sales Return - Exports)
When a Sales Return for Export is approved, the Trade debtor – control A/C's sub account's credit available will be added the returned amount of money at base currency.
POST (Sales Return - Export)
When a Sales Return for Export is posted to GL, the following accounting entries are created.
| GL Interface Type/[Account] | Account Usage | Sub-account | Currency | Dr | Cr | Notes |
|---|---|---|---|---|---|---|
| STOCK IN HAND | Ledger | Prime | Actual Cost | |||
| COST OF SALES | Ledger | Prime | Standard Cost | |||
| COMMISSION PAID | Ledger | Prime | (SalesPrice-Discount)*Commission%/100 | |||
| SALES DISCOUNT | Ledger | Prime | Discount | |||
| SALES | Ledger | Prime | SalesPrice | |||
| GST-OUTPUT TAX (Sales) | Tax | Prime | Not Applicable | |||
| TRADE DEBTOR - CONTROL A/C | AR | Customer - Account | Prime | (SalesPrice-Discount) | ||
| COST OF SALES variance | Ledger | Prime | Standard cost - Actual cost | If actual price is less than the standard price, then cost of sales variance is CR | ||
| TRADE CREDITORS- CONTROL A/C | AP | Supplier - Account | Prime | (SalesPrice-Discount)*Commission%/100 |
SETTLEMENT Sales Return - Export
Once the sales return is settled, Trade debtor – control A/C's sub account's credit available will deduct the settled amount of money at the base currency and the following accounting entries are created.
| GL Interface Type/[Account] | Account Usage | Sub-account | Currency | Dr | Cr | Notes |
|---|---|---|---|---|---|---|
| CASH AT BANK | Bank | Prime | (SalesPrice-Discount) | |||
| TRADE DEBTOR - CONTROL A/C | AR | Customer Account | Prime | (SalesPrice-Discount) |
Examples
Export Sales: Say, SalesPrice=USD150, ExchangeRate=1.5 BaseCurrency=SGD, Discount=USD3.00, Customer=CUS-000001, Commission=2%, Agent=SUP-000001. Stock Item StandardCost=SGD100.00, ActualCost=SGD90.00 and TaxRate=7%
1. APPROVE (Sales Return - Export)
After approving the sales return for Export, customer credit available will get SGD220.5 amount.
2. POST Sales Return - Export
After posting the sales return, the generated vouchers will contain:
| GL Interface Type | Sub-account | Currency | ExchRate | PrimeDr | PrimeCr | BaseDr | BaseCr | Notes |
|---|---|---|---|---|---|---|---|---|
| STOCK IN HAND | SGD | 90 | 90 | |||||
| COST OF SALES | SGD | 100 | 100 | |||||
| COMMISSION PAID | USD | 1.5 | (150-3)*2/100 = 2.94 | 2.94*1.5 = 4.41 | ||||
| SALES DISCOUNT | USD | 1.5 | 3 | 3*1.5 = 4.5 | ||||
| SALES | USD | 1.5 | 150 | 150*1.5 = 225 | ||||
| TRADE DEBTOR - CONTROL A/C | CUS-000001 | USD | 1.5 | (150-3) = 147 | 147*1.5 = 220.5 | |||
| COST OF SALES variance | SGD | 100-90 = 10 | 10 | |||||
| TRADE CREDITORS- CONTROL A/C | SUP-000001 | USD | 1.5 | (150-3)*2/100 = 2.94 | 2.94*1.5 = 4.41 | |||
| GST-OUTPUT TAX (Sales) | ||||||||
| Totals | 329.41 | 329.41 |
3. SETTLEMENT Sales Return - Export
Once the sales return is settled, customer credit available will loss SGD220.5 amount, and the generated vouchers will contain:
| GL Interface Type | Sub Account | Currency | ExchRate | PrimeDr | PrimeCr | BaseDr | BaseCr | Notes |
|---|---|---|---|---|---|---|---|---|
| CASH AT BANK | USD | 1.5 | (150-3) = 147 | 147*1.5 = 220.5 | ||||
| TRADE DEBTOR - CONTROL A/C | CUS-000001 | USD | 1.5 | (150-3) = 147 | 147*1.5 = 220.5 | |||
| Totals | 220.5 | 220.5 |
