How do you handle credits to customers

[jymm]

we are using GP9 on sql 2005 and I just am curious how other GP users handle this situation.

We have a customer who buys our product. They are doing a trade show to promote the product. Main sales person for the account wants some of the trade show EXPENSE to come off the customer's next invoice.

So let's say they order $10,000 of product and the EXPENSE for the trade show is $4,000.

Our Customer Service area 'just' wants to make a new item number for the EXPENSE so that the bottom line of the invoice is $6,000. Personally I would think that since this is truely a business expense that it should go in as a credit some place else (Payables? Receivables? I don't know - I am not a GP expert nor an accountant).

I just think the whole thing is a bit odd since if they put it in to SOP that revenue for the territory and customer will be be effected - not to mention the fact that some expenses can come off of our US taxes.

SO --- I am curious --- how do other GP users do similar things?

 

[barbola]

They can show it as an Expense item on the invoice, it will have a negative quantity (as set up in the price list).

The acctg dept would enter the "sales" account using an expense account.

At least that is how we would do it )

 

[jazgeek]

I posted a reply to this but I guess it didn't go through.

we do similar things for samples here but we invoice the samples using A/R transaction insted of SOP. We have a custom crystal report to print out the pro-forma invoice. We then leave the document open for 90 days aged before we deduct it from their commissions.

we have a customer class set up with a different set of accounts for these types of customers.

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and they wonder why they call it Great Pains!

jaz