Recently, I received this question:
I bought inventory and pre-paid the invoice with a credit card. When I received the inventory, they said they had misquoted me and refunded me $50.00 on the order. The refund was made back to the credit card that was used to pay for the order.
The question (in two parts):
- This is a refund on the the whole order, not just a handful of the inventory items (i.e. I am not returning anything, I’m just getting some money back on the job overall). Do I handle that by using Bill–>Misc and entering negative $50 as the bill, which generates a return credit to me? AND
- If I do that, I am then being asked to to apply that $50 to one of my accounts, but which one?
Because you need to change the cost of your merchandise inventory, the best approach is to go to the original bill for the items and adjust the purchase amount to what you’re actually paying for each item. Since this has already been paid, it will show a negative amount owing. Then go to Purchases -> Settle Returns and Debits, select that debit and “deposit” it to your credit card.