When Customer is also Supplier - Interparty Receivable/ Payable Adjustment
Adjustments of Parties Having Dual Nature (Same Party is customer as well as Vendor) For Example 1. ABC (Customer) Balance Rs. 10,000 2. ABC(Vendor) Balance Rs. 15,000 First adjust Rs.10, 000 of party ABC as a Customer. First create an account in chart of account named as “Clearing Account” with (Other payable/Receivable A/C) nature to adjust the parties balances having customer as well as vendor behavior. But in Quick Books (QB) /Dynamics AX 2012/D365 it be of Liability type. It will be actually contra asset/liability account Go to “General Ledger” and create new General Journal and do following entry. Please note don’t forget to mention the name of respective Customer OR supplier while making Entry. Clearing Account A/C (Dr) ...