Draft Acceptance

You enter a draft after the customer accepts it. The draft has no legal force until the customer accepts it. When a draft is accepted, the status of the invoice changes. In some countries this has legal ramifications.

For manual drafts, the customer can accept the draft using any of these methods:

• Signing the draft that you originated and returning it to you.

• Changing the draft that you originated (date, amount, bank, and so on), and then signing it and returning it to you.

• Originating, signing, and sending the customer's own draft to you.

For automatic drafts, the draft is accepted by prior agreement, so each draft does not require customer acceptance.

Draft acceptance also includes entering the draft into the system. If you process drafts manually, you enter the draft to create the appropriate records. If you process drafts automatically, the system creates the appropriate draft records for you.

Regardless of whether you enter the draft manually or create the draft automatically, the system performs these steps:

• Creates a record in the Receipts Header (F03B13) and Receipts Detail (F03B14) tables.

• Marks the invoice as paid by changing its pay status to P.

• Creates an invoice record (document type R1) in the F03B11 table.

This table shows the result of draft acceptance in the F03B11 table:

Customer Number	Document Type	Document Number	Document Amount	Pay Status	Pay Instr
7001	RI	1234	10,000	P	2
7001	R1	10005	10,000	D	2

After you enter the draft, you must post it to the general ledger. When you post the draft, the system creates a journal entry to debit drafts receivable and credit an A/R trade account.