Guidelines for Transaction Type Reference Accounts

Define the accounting for transaction types of class Invoice, Chargeback, Credit Memo, and Debit Memo. Receivables uses this information along with your AutoAccounting definition to determine the accounts to use for transactions with the applicable transaction type.

Revenue

Enter a revenue account, unless the transaction type doesn't allow freight.

If the Invoice Accounting Used for Credit Memos profile option is set to No, then a revenue account isn't required for Credit Memo transaction types.

Freight

Enter a freight account, unless the transaction type doesn't allow freight.

Receivable

Enter a receivable account for all transaction types.

If the Post To GL option on the transaction type is enabled, Receivables creates a receivable transaction record using this account in order to transfer accounting to general ledger and create a journal entry.

For Chargeback transaction types, enter the Receivable Chargeback account. The offset to the receivable account on the original debit transaction is generated by the chargeback adjustment.

If the Invoice Accounting Used for Credit Memos profile option is set to No, then a receivable account isn't required for Credit Memo transaction types.

AutoInvoice Clearing

If this is an Invoice or Debit Memo transaction type, enter an AutoInvoice clearing account. Receivables uses this account to hold any difference between the revenue amount specified for the revenue account and the selling price times the quantity for imported invoice lines.

Receivables only uses the AutoInvoice clearing account for imported transactions that have a transaction source with the Create clearing option enabled. If the Create clearing option isn't enabled, then AutoInvoice requires that the revenue amount on the invoice be equal to the selling price times the quantity, or the invoice is rejected.

Tax

If this is an Invoice, Credit Memo, or Debit Memo transaction type, enter a tax account.

Unbilled Receivable

If this is an Invoice or Credit Memo transaction type, enter an unbilled receivable account. This account is for transactions that use the In Arrears invoicing rule.

Unearned Revenue

If this is an Invoice or Credit Memo transaction type, enter an unearned revenue account. This account is for transactions that use the In Advance invoicing rule.