Lesson 5 of 5 · 3 min

Sending goods back to a supplier

A supplier's credit takes goods off the shelf at what they came in at, and comes off what you owe them. The bill stays as it was.

  1. Four tins of oil from Ravi Oil Distributors came in leaking. Don't change the bill: enter their credit note against it. Purchases → Supplier credits → New supplier credit, pick the bill, and keep the four tins on it.
  2. Entering it posts the bill the other way: you owe them less, the four tins leave the shelf at exactly what they came in at on B-0024, and the tax you'd claimed on them comes back off.
  3. Untick Sent back to the supplier for an allowance on goods you keep: no stock moves, and the credit comes off what they cost you. If they credit more than the goods cost, the difference comes off cost of goods sold too.
  4. A bill whose goods have been sold since isn't voided or cut down any more: the shelf can't give back what's gone. Ledger says so and points you here, or to a stock count for goods lost.

Try it

Opens Ledger. You'll be asked to sign in first; new businesses get a free week, no card needed.

Open supplier credits

Quick check

One quick question. Pick an answer and Ledgy will tell you how you did.

1. Five tins came in damaged and you're sending them back. What do you enter?

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