In 4.05 and below the amount in the ‘Net Order’ field (order total less deposit amount) was used in the credit limit calculation instead of the ‘Order Total’. Now even though the order has been paid for or partially paid for, it is still included in the credit limit calculation. At this point there is no credit being extended for this deposit amount and it should not be included in the calculation. You cannot enter the deposit payment as a prepayment (reducing the open AR balance) because that credits the AR GL account and not the deposit GL account which is debited when the invoice is processed.


Note: Make sure options are set to include open orders in the credit limit checking

by: Roberta F. | over a year ago | Sales & Distribution