How to floor a unit after it's been paid
Flooring a unit after paying for it
- Pay off the original unit by changing the vendor on the Units AP Invoice from your internal flooring company to the actual vendor you are paying, and then cutting a check against it.
- Create a deposit through banking transactions that debits the bank for the full amount and then adding rows (one per unit floored) against your suspense account.
- Create created the AP invoices in AP Transactions to the company you now have the units floored to, with misc. items on it pointing to the suspense account used in Step #2 (in order to set up the liability and empty out the amounts sitting in suspense from step #2)
Problem: The flooring report (located from the main menu, <Business Office>, <Reports & Graphs>, Sales Reports, Flooring Invoice summary) can only see the invoice that is tied to the unit from the unit po. Since we paid this unit AP invoice in Step#1, this invoice will not show on the report.
- Create a supplementary invoice for each unit you are flooring in the name of the company you need to issue a cheque to, with a misc. item on it for that value pointed to suspense.
- Pay off those supplementary invoices from step #1 right away (instead of paying the actual Units AP invoice as we did in Method A - thus the AP Invoice from the unit now remains outstanding).
- Log the deposit against the suspense account in the exact manner as was done for step #2 in Method A.
- Pull up the original AP Units Invoice that you have floored, change the Vendor on it to the Flooring company and post.
This method does not break the link between the Unit AP Invoice, and the Flooring Report. But it would only work if you wait to post the AP invoice from the unit until you know whether you are going to floor it or not. If you can wait to post a Units AP invoice until you know whether you want to floor it or not, then this would work. Otherwise, you would want to use Method A.
- Create two cost adjustments on the unit:
- AR Invoice: Create a cost adjustment but select TYPE: Rebate. Enter the amount that you will receive for the unit, and select the correct Vendor in the Vendor Field (You can backdate the transaction by changing the date
- AP Invoice: Create a cost adjustment but select TYPE: Sublet / Freight. Enter the amount that you will owe for the unit, and select the correct Flooring Vendor in the Vendor Field (You can backdate the transaction by changing the date
- Pay the AR invoice by adjusting the amount to your bank, or receiving a cheque against the generated invoice.
- When you retail the floored unit you can pay the generated invoice as normal.
Problem: The generated invoices have unusual invoice numbers (rb-12345 and sl-12345 prefixes.) You can alter the invoice numbers by running the invoice through a consolidated invoice - this will also allow you to add any fees to the invoice that you might incur by flooring the unit). Take care to ensure that you include the stock number in your new consolidated invoice to aid in identifying the invoice when you are ready to pay. If you select the correct Vendor the invoices will appear on the flooring report