Transfer from Bad Debt

Explanation

Use this activity to transfer the ledger items from Bad Debt to Normal Ledger Status.

Prerequisites

• The invoice must have Ledger Status Bad Debt.
• No other payment transaction with later voucher dates should exist for the relevant invoice (this does not apply to rolled back transactions).

System Effects

The Ledger Status of the invoice changes from Bad Debt to Normal. The invoice will also be posted from the Bad Debt account (using posting type PP15) to an ordinary customer claims account (using IP2). Any posted bad debt provision from the bad debt level will be dissolved.

Window

Bad Debt Management

Related Window Descriptions

Bad Debt Management

Procedure

1. In the Bad Debt Management window, select the invoice which you want to transfer from Bad Debt to Normal Ledger Status, right-click and then click Transfer from Bad Debt.
2. The values in the Current Bad Debt Level and Current Provision Percent fields appear by default according to the Bad Debt Level which had been assigned for the invoice. The values in these fields are non-editable.
3. You may select either cost or revenue in the Dissolve Bad Debt Provision To: field. If Revenue is selected, the bad debt provision will be dissolved against a revenue account. If cost is selected, and reverse is selected as the Cancel/Rollback Posting Method in the Company/Payment tab, then the bad debt provision will be dissolved against a revenue account (PP75). If correction is selected as the Cancel/Rollback Posting Method, then the bad debt provision will be eliminated with negative amounts, i.e. correction postings.
4. Today's date appears by default in the Voucher Date field but the values in this field are editable. The Accounting Period field is automatically populated according to the date in the Voucher Date field.
5. Current user's default user group is presented in the User Group field. However, you can use the List of Values to specify a different user group which has been predefined for the current user.
6. In the Voucher Type field, current user's default voucher type from Function Group B appears by default, but you may use the List of Values to specify a different voucher type.
7. If you want to copy the code parts (Code B to J) from the customer invoice, select the Copy Code Parts check box.