Retail
Supplier Advance Settled on Delivery
Offsetting the advance against the supplier invoice when goods are received.
| Account Name | Type | Debit ($) | Credit ($) |
|---|---|---|---|
| Merchandise Inventory | Asset (+) | 20,000.00 | - |
| Advances to Suppliers | Asset (-) | - | 20,000.00 |
💡 Accountant's Note
When the goods arrive, the advance converts to inventory. If the actual invoice differs from the advance amount, cash or a payable balances the difference.
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