Overview

NorthScope allows users to enter basic accounts payable credit memos that integrate as payable transactions within the host system, if the AP Invoice/Credit Memo integration in the Company module is set to immediate or timed. These transactions are used to record credits the user is receiving against a vendor. This transaction does not use inventory items, or integrate with NorthScope’s Inventory module. Credit memos can be recorded in either NorthScope or the host system. However, a NorthScope credit memo provides additional capabilities, such as recording line item details and allocations against financial projects, fishermen, and tenders.

Prerequisites

Required Prerequisites

Before entering a credit memo transaction, users must complete the following:

• Vendor Setup
• Financial Account setup

Optional Prerequisites

The following prerequisites are not required, but users are encouraged to set them up:

• Projects. Set up projects if licensed for Project Accounting to track expenses against.
• Set the purchasing preference for “Default Account – Settlement Accrual”. This will ensure that transactions will still post if the settlement account has not been manually configured for each fisherman, tender, or employee.
• Set the integration setup for AP Invoice/Credit Memo in the Company module. 
• Attributes setup for AP Purchasing - Credit Memo Transaction. 

Understanding the data flow

There are 4 types of Credit Memos that can be entered in NorthScope:

Traditional

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Overview

NorthScope allows users to enter basic accounts payable credit memos that integrate as payable transactions within the host system, if the AP Invoice/Credit Memo integration in the Company module is set to immediate or timed. These transactions are used to record credits the user is receiving against a vendor. This transaction does not use inventory items, or integrate with NorthScope’s Inventory module. Credit memos can be recorded in either NorthScope or the host system. However, a NorthScope credit memo provides additional capabilities, such as recording line item details and allocations against financial projects, fishermen, and tenders.

Prerequisites

Required Prerequisites

Before entering a credit memo transaction, users must complete the following:

• Vendor Setup
• Financial Account setup

Optional Prerequisites

The following prerequisites are not required, but users are encouraged to set them up:

• Projects. Set up projects if licensed for Project Accounting to track expenses against.
• Set the purchasing preference for “Default Account – Settlement Accrual”. This will ensure that transactions will still post if the settlement account has not been manually configured for each fisherman, tender, or employee.
• Set the integration setup for AP Invoice/Credit Memo in the Company module. 
• Attributes setup for AP Purchasing - Credit Memo Transaction. 

Understanding the data flow

There are 4 types of Credit Memos that can be entered in NorthScope:

Traditional

A traditional credit memo occurs when the user is entering a credit from a vendor and none of the line items are being distributed (the “Distributed To” field is not assigned). When the transaction status is changed to “Ready to Post,” a Payables Transaction Entry is created in the host system’s Purchasing module, if the integration is turned on.

Each of these transactions contain the journal details for a typical credit transaction with the debit account defaulting from the Vendor's “Accounts Payable” account and the credit account(s) coming from the line item "Purchase Account". 

To view the data flow of traditional Credit Memo transactions, click here.

With Project Distribution(s)

A credit memo with Project Distributions occurs when the user is entering a credit from a vendor and none one or more of the line items are is being distributed (the “Distributed To” field is not assigned)to a Financial Project. When the transaction status is changed to “Ready to Post,” Post” a Payables Transaction Entry is created in the host system’s Purchasing module, if the integration is turned on.

Each of these transactions contain contains the journal details for a typical credit transaction with the debit account defaulting from the Vendor's vendor’s “Accounts Payable” account and the credit accountaccounts(s) coming from the line item "Purchase Account". 

In addition, each line item that was distributed to a Financial Project will create a detail transaction in the Financial Project to update the project's balance via a Purchasing Credit Memo line item.

This type of transaction requires the Financial Project feature to be licensed.

To view the data flow of traditional Credit Memo transactions with Project Distributions, click here.

With

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Fisherman or Tender Distribution(s)

A credit memo with Project Fisherman or Tender Distributions occurs when the user is entering a credit from a vendor and one or more of the line items is being distributed to a Financial Project. When the transaction status is changed to “Ready to Post” a Payables Transaction Entry is created in the host system’s Purchasing module, if the integration is turned on.

Each of these transactions contains the journal details for a typical credit transaction with the debit account defaulting from the vendor’s “Accounts Payable” account and the credit accounts(s) coming from the line item "Purchase Account". 

In addition, each line item that was distributed to a Financial Project will create a detail transaction in the Financial Project to update the project's balance via a Purchasing Credit Memo line item.

This type of transaction requires the Financial Project feature to be licensed.

To view the data flow of Credit Memo transactions with Project Distributions, click here.

With Fisherman or Tender Distribution(s)

A credit memo with Fisherman or Tender Distributions occurs when the user is entering a credit from a vendor and one or more of the line items is being distributed to a fisherman or tender. When the transaction status is changed to “Ready to Post” a Payables Transaction Entry is created in the host system’s Purchasing module, if the integration is turned on.

Each of these transactions contain the journal details for a typical credit transaction with the debit account defaulting from the Vendor's “Accounts Payable” account and the credit account(s) coming from the line item "Purchase Account", which will default from the fisherman's "Settlement Accrual" account.

In addition, each line item that was distributed to a fisherman or tender will create a corresponding settlement transaction in NorthScope, owing the fisherman or tender. 

This type of transaction requires the Seafood Purchasing feature to be licensed.

To view the data flow of Credit Memo transactions with fishermen or tender distributions, click here.

Step 1: Entering the Transaction in NorthScope

Entering a new transaction

From NorthScope, expand the Purchasing module on the navigation menu and select “Invoices”. This will open the Purchasing Invoices List View, which displays all purchasing invoices and credit memos with a status of New, Approved, or Ready to Post.

Click the “New” icon in the header toolbar and select “Credit Memo” to open a blank record view.

Completing the header fields

• Amount: This is a calculated field that is updated on save. This is not editable.
• Doc Date: Enter the date of the credit memo. The date defaults to the current date but can be edited. This field is required.
• Doc No:  Enter the transaction number. This field is required and must be unique by Invoice/Credit Memo and vendor combination - meaning that no two credit memos and/or invoices for the same Vendor may have the same Doc No. 
• GL Date: This field defaults to today's date but can be edited for the user to enter the date the credit memo will post to the general ledger.
• Payment Terms: This field defaults to 'Use Vendor Default'. Once the transaction is saved, this field will update to display the vendor's default payment terms, however, this field is never editable. 
• PO: Enter the purchase order used to place the order. This field is not required.
• Status: This field is to select the status from the following options:
  • New - This is the default.
  • Approved - Used when there is a two-step process for finalizing transactions. Setting the status to “Approved” disables all editable fields except Status.
  • Ready to Post - Used when the user is ready to post the transaction. Setting the status to “Ready to Post” disables all editable fields including status

• Vendor: Select the vendor for the transaction. This list contains all active vendors assigned a “Vendor Type” of Vendor. In order to process a credit transaction for a vendor with a “Vendor Type” of fisherman or tender, the user must use the Adjustment Transaction. This field is required.

Adding line items

Click New from the grid toolbar to add blank rows for data entry. By default clicking New creates 5 blank rows. Complete the data entry for each line item the user wishes to add. 

Note: Clicking New from the grid toolbar saves the transaction.

Note: Additional lines can be added by clicking New grid toolbar icon.

Required line item fields:

• Description: Enter the description of the line item (e.g. Office Supplies or Rent). This field defaults once the item has been selected. 
• Extended: This field is read-only and displays the product of the price per UOM and the quantity. 
• Price: Enter the price for the line item. Prices must be greater than or equal to 0.
• Purchase Account: Enter the expense account that will be used for the credit side of the journal entry (for an invoice, this would be a Debit Account). The lookup contains all the active financial accounts that are marked as “Use in Purchasing”. This field is blank by default, but is required in order to save the line item. If the line is distributed to an employee, this field will default to the Employee Accounts Receivable Account and will become disabled. If the line is distributed to a Fisherman, Tender, or Fisherman & Tender, this field will default to the AP Vendor's Settlement Accrual Account and will become disabled.
• Quantity: Enter the amount of the line item. This field defaults to 1 and must be greater than 0.

Optional line item field(s):

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the user is entering a credit from a vendor and one or more of the line items is being distributed to a fisherman or tender. When the transaction status is changed to “Ready to Post” a Payables Transaction Entry is created in the host system’s Purchasing module, if the integration is turned on.

Each of these transactions contain the journal details for a typical credit transaction with the debit account defaulting from the Vendor's “Accounts Payable” account and the credit account(s) coming from the line item "Purchase Account", which will default from the fisherman's "Settlement Accrual" account.

In addition, each line item that was distributed to a fisherman or tender will create a corresponding settlement transaction in NorthScope, owing the fisherman or tender. 

This type of transaction requires the Seafood Purchasing feature to be licensed.

To view the data flow of Credit Memo transactions with fishermen or tender distributions, click here.

Step 1: Entering the Transaction in NorthScope

Entering a new transaction

From NorthScope, expand the Purchasing module on the navigation menu and select “Invoices”. This will open the Purchasing Invoices List View, which displays all purchasing invoices and credit memos with a status of New, Approved, or Ready to Post.

Click the “New” icon in the header toolbar and select “Credit Memo” to open a blank record view.

Completing the header fields

• Amount: This is a calculated field that is updated on save. This is not editable.
• Doc Date: Enter the date of the credit memo. The date defaults to the current date but can be edited. This field is required.
• Doc No:  Enter the transaction number. This field is required and must be unique by Invoice/Credit Memo and vendor combination - meaning that no two credit memos and/or invoices for the same Vendor may have the same Doc No. 
• GL Date: This field defaults to today's date but can be edited for the user to enter the date the credit memo will post to the general ledger.
• Payment Terms: This field defaults to 'Use Vendor Default'. Once the transaction is saved, this field will update to display the vendor's default payment terms, however, this field is never editable. 
• PO: Enter the purchase order used to place the order. This field is not required.
• Status: This field is to select the status from the following options:
  • New - This is the default.
  • Approved - Used when there is a two-step process for finalizing transactions. Setting the status to “Approved” disables all editable fields except Status.
  • Ready to Post - Used when the user is ready to post the transaction. Setting the status to “Ready to Post” disables all editable fields including status

• Vendor: Select the vendor for the transaction. This list contains all active vendors assigned a “Vendor Type” of Vendor. In order to process a credit transaction for a vendor with a “Vendor Type” of fisherman or tender, the user must use the Adjustment Transaction. This field is required.

Adding line items

Click New from the grid toolbar to add blank rows for data entry. By default clicking New creates 5 blank rows. Complete the data entry for each line item the user wishes to add. 

Note: Clicking New from the grid toolbar saves the transaction.

Note: Additional lines can be added by clicking New grid toolbar icon.

Required line item fields:

• Description: Enter the description of the line item (e.g. Office Supplies or Rent). This field defaults once the item has been selected. Note: New line items on these transactions, without a Description, will not be saved.
• Extended: This field is read-only and displays the product of the price per UOM and the quantity. 
• Price: Enter the price for the line item. Prices must be greater than or equal to 0.
• Purchase Account: Enter the expense account that will be used for the credit side of the journal entry (for an invoice, this would be a Debit Account). The lookup contains all the active financial accounts that are marked as “Use in Purchasing”. This field is required and defaults to the Vendors default "Purchase Account" (this can be assigned from the Accounts tab on the Vendor record view) and can be edited while the transaction is 'New.'. If the line is distributed to an employee, this field will default to the Employee Accounts Receivable Account and will become disabled. If the line is distributed to a Fisherman, Tender, or Fisherman & Tender, this field will default to the AP Vendor's Settlement Accrual Account and will become disabled.
• Quantity: Enter the amount of the line item. This field defaults to 1 and can be positive or negative, but the total transaction amount must be greater than or equal to $0.

Optional line item field(s):

• Distributed To: If the line item is being distributed, use this lookup to select the project, fisherman, or tender. The lookup contains a list of all active projects and all active vendors with a “Vendor Type” of Fisherman, Tender, or Fisherman/Tender.
• UOM: This field displays a drop-down menu of all active UOMs to select the unit of measure for the line item. This field defaults from the Purchasing preference "Default Invoice, Credit, & PO UOM", but can be changed to any active UOM in the Units of Measure master file. If no default preference is set, or the UOM is inactive, new transaction lines will not default a UOM value.  This field can be edited while the transaction is set to a status of 'New' and is not required.

Placing Credit Memos on Hold (Optional)

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