Good day. could you please assist. The situation is this :
I purchased goods from a supplier with my debit card. Then noticed it was damaged. The supplier refunded me in cash. I then bought it again with the Cash.
How do I record this in manager so that the cash I received is now shown in petty cash and the Re Purchase is a petty cash purchase.
Thank you in advance
This is not a manager io issue but an accounting issue
You purchased goods in cash and the card was spoilt so no purchase was done
But you went ahead to purchase the goods in cash
Cr. Cash Account (Under Cash and Bank)
Dr. Supplier
For this raise a payment in manager, and select the respective supplier and respective cash account
Oops Im sorry my explanation was unclear. I agree its not an io issue but thanks for helping.
The card was not damaged, the goods were. I paid with my debit card and then they refunded the damaged good in cash. I did a debit note but couldnt figure out how to let the cash reflect in Petty Cash.
So I deleted it and did a Journal entry which gave me the option to credit repairs and maintenance and debit the Petty Cash. I hope that is right
I reckon you’re overthinking it. Just delete any cash entries you’ve made and forget about the cash, which balances out. You have a working item purchased via credit card.
We aint suppose to delete a transaction as accountant, that’s a fraud, you only reverse the transaction, in as much as we use the system we follow the principles of accounting
Deleting an operator data entry error is appropriate within an accounting period. Doing so violates no accounting principle.
And even if you want to keep such entities in your records, the first step in fixing an accounting problem is to understand how the system is supposed to work with out the erroneous entries.
Deleting a transaction in the accounting period is a fraud case, as an Accountant you are to reverse the transaction and not to delete the transaction
You can pass a journal entry to reverse the transaction, however you are prohibited from deleting the transaction
its only fraud if you are stealing, or cheating the taxation system. There is nothing wrong with deleting transactions and redoing. In any event all transactions are recorded in History (Audit Trail) of Manager so auditors can find and trace fraudulent activity if needed.
If you are an accountant, you know what am saying, you have to be professional with your work, the accounting code of ethics should guide you on what to do
@Anthea, you used a debit card for the original purchase, which means the transaction will appear on your bank statement. So, this transaction should be documented in Manager. Here is how I would handle your situation:
The original purchase:
The refund to petty cash:
The purchase using petty cash:
The Repairs and maintenance account will look like:
And the Petty Cash account will look like:
Thank you so very much for this beautiful and very clear ‘how-to-do-it’. As you can guess I am not an accountant, just someone trying to set up a small business on Manager so I can have it checked out by an accountant if I have set things up correctly.
I eventually did a journal entry hoping it was also a correct way of recording it. Was it? Thank you to everyone for the enlightenment along the way. Much appreciated
