Vendor accounting setup will be used to define specific GL accounts. The setup id or name will be mapped with vendor master 

(Business partner) along with business posting group.


For example, if you have two nature of businesses like trading and manufacturing then you may need two different posting structure to handle the transactions in GL accounts so that user can have deep insights about profit and loss of two separate business operations. 


Doc No:

Name*

Account Receivable (Assets)

Sales Return / Credit Note (Assets)

Exchange Gain (Incomes)

Accounts Receivable-Service (Assets)

Discount Granted (Expenses)

Exchange Loss (Expenses)

Rounding Off Loss (Expenses)

Rounding Off Gain (Incomes)
 VAG0  Default Setup   Temp A/c   Temp A/c   Temp A/c   Temp A/c   Temp A/c   Temp A/c   Temp A/c   Temp A/c
VAG1 Trading Vendor A/c Setup AP
(Trading) A/c 

AP

(Trading) A/c

 Exchange Gain (Trading)
A/c

AP (Trading) A/c

 Discount Granted A/c

Exchange Loss A/c

Rounding Off Loss A/c

Rounding Off Gain A/c

VAG2

Manufacturing Vendor A/c Setup

AP

(Manufacturing)

A/c

AP

(Manufacturing)

A/c

Exchange Gain (Trading)

A/c

AP

(Manufacturing) 

A/c

Discount Granted A/c

Exchange Loss A/c

Rounding Off Loss A/c

Rounding Off Gain A/c


Now take the same case which is explained at general accounting setup.

  • B (Vendor) mapped with Trading Business (TB) and Trading Vendor A/c Setup (VAG1).
  • P1 (Item) mapped with with Trading Product (TP) as Product posting group.
  • P2 (item) not mapped with any posting group.
  • P1 and P2 (Items) are bought from B (Vendor) for USD 1000 and USD 500 respectively.

Based on the accounting setup, system will identify the corresponding GL accounts to post values.


Then purchase journal will be as follows.

  • AP (Trading) A/c - USD 1500 Credit
  • Purchase (Trading) A/c - USD 1000 Debit
  • Temp A/c USD 500 Debit