Supplier Bill of Exchange Payment—Key Exercises

Basic Data Setup

Company Setup

Purpose: The purpose of this exercise is to show you how to set up the basic data required to perform this functionality. You will learn how to set up parameters that support bill of exchange processing and set up BoE remittance rules and number series.

Windows:
Payment Documents
Bill Types

1. Open the Payment Documents window.
2. Select the Supplier Bills of Exchange document type from the list, and enter the information shown in the table below. 

Note: The number of remittance items is the maximum number of lines to be printed per check slip.

3. Connect a bill type if required by entering a bill type in the Bill Type field. Save the record.
4. Select the record saved, right-click and then click Payment Document Number Series. 
5. Click the Valid From field, and add a new record.
6. Enter the information shown in the table below.

7. Save your entries.

Required Data

Enter and Authorize Supplier Invoices

Purpose: The purpose of this exercise is to show you how to enter supplier invoices to be used in the exercises below. The invoices/installments must also be authorized for payment.

1. Enter several supplier invoices.

General exercise for Arrival Entry Supplier Invoice 
General exercise for Post Supplier Invoice
General exercise for Authorize Supplier Invoice for Payment

Create and Acknowledge a Payment Proposal

Purpose: The purpose of this exercise is to show you how to select authorized supplier invoices/installments into a payment proposal that will be used in the exercises below.

1. Create a payment proposal.
2. Acknowledge the proposal.

General exercise for Load Payment Proposal
General exercise for Acknowledge Payment Proposal

Main Exercises

Automatic Supplier Bill of Exchange Payment

Create Payment Order

Purpose: The purpose of this exercise is to show you how to use an acknowledged payment proposal and create a payment order.

Windows:
Supplier Payment Proposals

1. Open the Supplier Payment Proposals window, and populate it.
2. Select your payment proposal line, right-click, and then click Create Payment Order.
3. Enter a supplier bill payment method, or select one from the List of Values.
4. Clear the Use only Default Payment Method check box, if it is checked.
5. Enter the financial institution, or payment institute, to which the bills are connected, or select one from the List of Values.
6. Click OK. The Cash Accounts window appears. This window shows the possible cash accounts for the payment.
7. Click OK. The Create Order Results window appears. This window confirms the created order results.
8. Click OK to close the window.

Create Bill of Exchange Payment

Purpose: The purpose of this lesson is to show you how to create a bill of exchange payment from the payment order.

Windows:
Supplier Payment Orders

1. Open the Supplier Payment Orders window, and populate it.
2. Select the line with your payment order, right-click, and then click Create Bill of Exchange Payment. The Print And Create Bill Of Exchange Payment window opens. This window shows the default bill type if bill types are used, which bill number will be used, etc.
3. Click OK.

Manual Supplier Bill of Exchange Payment

Enter and Match Bill of Exchange

Purpose: The purpose of this lesson is to show you how to manually enter bill of exchange information and match it with invoices/installments.

Windows:
Supplier Bills of Exchange

1. Open the Supplier Bills of Exchange window, and create a new record.
2. Enter a supplier identity and amount.
3. Select the bill line, right-click, and then click Match/View Invoices.
4. In the Select Batch of Invoices window, select one or more invoices/installments to be paid by the bill that matches the bill amount...
5. Click OK to close the window. The selected invoices/installments appear in the Matching window.
6. Click OK to close this window.
7. Save the bill. A message appears with payment information. 
8. Click OK.
9. Repeat the same steps and create more bills. 

Print a Bill of Exchange

Purpose: The purpose of this lesson is to show you how to print a bill of exchange that was manually entered and created.

Windows:
Supplier Bills of Exchange

1. Open the Supplier Bills of Exchange window, and populate it.
2. Select the line that contains the bill that you want to print. The status of the bill should be Created. Right-click and then click Print BoE. A window appears with voucher information.
3. Click OK to confirm.

Cashing and Canceling Supplier BoE Payment

Cash a Bill of Exchange from Mixed Payment 

Purpose: The purpose of this exercise is to show you how to cash a bill of exchange that was created and printed, i.e., change the status from Printed to Settled. In this process, the payment amount is posted from the Open Supplier BoE account to the Cash account.

Windows:
Mixed Payment

1. Open the Mixed Payment window, and create a new record.
2. Click the General tab, and enter the cash account that was used when the bill was cashed. Enter the correct payment date, and set a balance method, if not defaulted from the Cash account.
3. Click the Transactions tab. In the table portion of the window, right-click and then click Open Supplier Bills. A window appears showing all open supplier bills that are ready for cashing.
4. Select the bill(s) you want to cash, and click OK. The bill or bills now appear on the Transactions tab.
5. Save the information.
6. In the upper portion of the window, right-click and then click Approve. A window appears with voucher information.
7. Click OK to confirm. A message appears with payment information.
8. Click OK.

Cash a Bill of Exchange from a Supplier Bill of Exchange 

Purpose: The purpose of this exercise is to show you how to cash a bill of exchange that was created or printed, i.e., change the status from Created or Printed to Settled. In this process, the payment amount is posted from the Open Supplier BoE account to the Cash account.

Windows:
Supplier Bills of Exchange

1. In the Supplier Bills of Exchange window, select a bill that is in the Created or Printed status.
2. Right-click and then click Settle BoE. The Settle a bill of exchange dialog box opens.
3. Click OK to confirm. A message appears with the payment information.
4. Click OK.

Rollback Bill of Exchange

Purpose: The purpose of this exercise is to show you how to rollback a bill of exchange that has been settled, i.e., change the status from Settled to Created or Printed. In this process, the payment amount is posted from the Cash account to the Open Supplier BoE account.   

Windows:
Supplier Bills of Exchange

1. In the Supplier Bills of Exchange window, select a bill that is in Settled status.
2. Right-click and then click Rollback BoE; the Rollback Bill of Exchange dialog box opens. 
3. Click OK to confirm. A message appears informing the status from which the rollback has occurred.
4. Click OK to confirm. A message appears with the payment information.
5. Click OK. 

Cancel Cashing of a Bill of Exchange 

Purpose: The purpose of this lesson is to show you how to cancel the cashing of a bill of exchange.

Windows:
Mixed Payment

1. Open the Mixed Payment window. Either query or populate to find the mixed payment in which the bill was cashed.
2. In the upper portion of the window, right-click and then click Cancel. A window appears with voucher information.
3. Click OK to confirm. A message appears with payment information.
4. Click OK.

Cancel a Bill of Exchange

Purpose: The purpose of this lesson is to cancel a bill of exchange.

Windows:
Supplier Bills of Exchange

1. Open the Supplier Bills of Exchange window. Either query or populate to find the bill that you want to cancel.
2. Select the line, right-click, and then click Cancel BoE. A message appears with payment information.
3. Click OK.

View Bill of Exchange Details 

Purpose: The purpose of this lesson is to show you how to follow up on bills of exchange.

Windows:
Supplier Bills of Exchange/ View Details/Supplier Payment Documents Detail Analysis
Supplier Payment Documents Detail Analysis

1. From the Supplier Bills of Exchange window, select one or more bills of exchange that you want to view. Right-click and then click View Details.
2. The Supplier Payment Documents Detail Analysis window will be opened with general details, history, and matched items details.
3. Click on the History tab and view the changes of status the bill of exchange has gone through up to now. Click one or more lines, right-click and click Voucher Details to view voucher details in GL Voucher Details Analysis window.
4. Click the matched items to view invoices or payment on accounts matched with the bill.

Required Data

Basic Data for Stamp Duty

Allow Stamp Duty for Supplier Bill of Exchange

Purpose: The purpose of this exercise is to show you how to allow stamp duty to be used in the Create Bill of Exchange with Stamp Duty exercise. 

Windows:
Payment Documents
Bill Types

1. Open the Payment Documents window. 
2. Select the Supplier Bill of Exchange document type from the list. 
3. In the Document Series ID field, enter a document series ID and a series ID for an unmatched payment on account. Enter the same information as in the above exercise, except that the cash account should be different.
4. Connect a bill type, if required, by entering a bill type in the Bill Type field.
5. Select the Allow Stamp Duty check box.  
6. Save the record.
7. Select the record that was saved, right-click and then click Payment Document Number Series.
8. In Valid From field, add a new record.
9. Enter the same information as in the above exercise.
10. Save your entries. 

Create Basic Data for Stamp Duty 

Purpose: The purpose of this exercise is to show you how to enter basic data for stamp duty, to be used in the exercise below. 

Windows:
Stamp Duty

1. Open the Stamp Duty window. 
2. Enter the maximum division amount as 500,000,000. This is the highest value of the index that is created during a division of a BoE using predefined values in stamp duty basic data. 
3. Enter the minimum division amount as 3,000,000. This is the lowest value of the index that is created during a division of BoE using predefined values in stamp duty basic data. The bill of exchange should be above this value for division calculation.
4. Enter the minimum BoE amount as 1,000,000. Bills of exchange above this amount but lower than the minimum division amount will have a stamp duty calculated without a division 
5. Select the Posting of Stamp Duty together with BoE check box. If selected, stamp duty will be posted at the same time the supplier bill of exchange postings occur. If not selected, the stamp duty calculation will take place, but it will not be posted along with the supplier bill of exchange. 
6. Save the record.
7. Click the Upper Limit field, and add a new record.
8. Enter the upper limits and stamp duty as stipulated by the respective authority. Enter the information shown in the table below. 

Upper Limit	Stamp Duty
99,999	0
1,000,000	200
2,000,000	400
3,000,000	600
5,000,000	1,000
10,000,000	2,000
20,000,000	4,000
30,000,000	6,000
50,000,000	10,000
100,000,000	20,000
200,000,000	40,000
300,000,000	60,000
500,000,000	100,000
1,000,000,000	150,000
999,999,999,999	200,000

9. Save your entries.                 

Enter and Authorize Supplier Invoices

Purpose: The purpose of this exercise is to show you how to enter supplier invoices to be used in the exercises below. The invoices/installments must also be authorized for payment.

1. Enter three supplier invoices for the same supplier. For each invoice, enter the amounts as 15,300,000, 45,000,000 and 55,000,000 respectively. 

General exercise for Arrival Entry Supplier Invoice 
General exercise for Post Supplier Invoice
General exercise for Authorize Supplier Invoice for Payment

Main Exercises

Enter and Match Bill of Exchange with Stamp Duty 

Purpose: The purpose of this lesson is to show you how to manually enter bill of exchange information, match it with invoices/installments, calculate, and post stamp duty.

Windows:
Supplier Bills of Exchange

1. Open the Supplier Bills of Exchange window, and create a new record.
2. Enter a supplier ID, and the amount as 115,300,000.
3. Select the bill line, right-click and then click Match/View Invoices.
4. In the Select Batch of Invoices window, select the three invoices/installments, entered above, to be paid by the bill that matches the bill amount...
5. Click OK to close the window. The selected invoices/installments appear in the Matching window.
6. Click OK to close this window.
7. Save the bill. The Stamp Duty Division dialog box opens with division information as shown in the table below. 

Note: When you change the division amounts, the stamp duty amount will be retrieved for the new division amount. You can add new lines or remove lines, but make sure that the total division amount is always equal to the bill of exchange amount.  

8. Click OK to close the dialog box.
   A message appears with payment and voucher information. Since four bills are created after the division, there will be four payment transactions and voucher transactions created. 
9. Click on the payment ID to view the rest of the payment and voucher transactions.  
10. Click OK. You will see that four bills have been created in the bill of exchange window with numbers assigned sequentially. Also for each of the four bills, a stamp duty amount is displayed separately.  

Note: Stamp duty division calculation is available for Automatic Supplier Bill of Exchange Payment as well. A payment order can include invoices of many suppliers. Therefore, division calculation can be done for more than one supplier, unlike in Enter and Match Bill of Exchange.  

View Bill of Exchange Details with Stamp Duty

Purpose: The purpose of this lesson is to show you how to follow up on bills of exchange.

Windows:
Supplier Bills of Exchange

Supplier Payment Documents Detail Analysis

1. In the Supplier Bills of Exchange window, select the four bills that were created, right-click and then click View Details.
2. The Supplier Payment Documents Detail Analysis window will be opened. View the stamp duty amount relevant for the bill on the General tab. 
3. Click on the History tab to view payment and voucher information related to the Created status. Select the record, right-click and then click Voucher Details to view the voucher information.
   Two additional voucher postings, except for the postings created when stamp duty does not apply, will be created for the stamp duty and stamp.  
4. Repeat for the other three bills.
5. Click the Matched Items tab and observe how three invoices originally matched with one bill of exchange, have now being allocated amongst four bills after stamp duty division calculation.