Confused on 'Credit memo''Debit memo''Credit/Debit'....

Hi Experts,
I found i am confused on Credit memo/Debit memo or Credit/Debit in SD. And read few articles and found more confused...
I read below 2 articles regarding the 'Credit' and 'Debit', seems what they said are not match each other....this confused me...
Article A:
    "A transaction that reduces Amounts Receivable from a customer is a credit memo. For eg. The customer could return damaged goods. A debit memo is a transaction that reduces Amounts Payable to a vendor because; you send damaged goods back to your vendor."
Article B:
    "Suppose a simple sales transaction like an invoice is being made, then the system needs to identify the revenue account it should credit and the cash or customer account it should debit."
My understanding from Article A is:
        For Return damaged goods:
        Credit memo reduces Amounts Receivable from Customer.
        Debit memo reduces Amounts Payable to a Vendor.
My understanding from Article B is:
      After the goods is sold to customers:
        Normally the invoice is raised to the customer, then revenue account(Our company side?) should credit(means reduces?? if according to Article A)
what i thinking is that after the goods sold to customers, our revenue account should be increased, right, why here use 'Credit'????
Hope kindly help me, thank you very much!

Hi Hoo Laa,
Your statements are absolutely right.
Suppose we area a seller and our customer is a buyer.
We sold the goods to customer and due to some reason customer return these goods (Bad quality etc), suppose before returning the goods we have already billed the customer
Now upon returning the goods, this is our responsbility to credited the customer account.
Just opposite in the debit memo, we have sold the goods 100$ per piece. Now after selling the goods, we and customer are agreed that the price should be 120$ per piece. Now we have to debited the customer account for 20$ per piece.
Hope it clarify your doubt.
Regards,
MT

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Why does my debit memo carry MEP to CO?

Dear friends,
Here is the situation.
I try to create a debit memo(extra freight charge to customer) reference my normal billing. When I check my debit memo in KE24, I realized the MEP(material external price) was carried as well. My confusion is since my debit memo has nothing to do with product selling, how come it carries product cost(MEP)..
I check the relevant item category and realized the it's been unchecked for "determine cost" under business data.
Please advise where I missed or misunderstood.
Thanks,
Linda

Hi
You need to assign your Bill Type for Dr and Cr Memo in KE4W and reset the fields which you dont want to change during Dr / Cr Memo (Tick the reset check box)
br, Ajay M

Can someone please explain Voice Memos syncing?

Hi All,
I'm really, really, really confused about Voice Memos, and syncing them with iTunes. My setup is an iPhone 5, and a MacBook Pro Retina 13". My wife also has an iPhone, and we both sync them to iTunes on the Mac, including backing them up to the Mac, not iCloud backups. Since I signed up to iTunes Match not so long ago, I've noticed that the Voice Memos on the phones and iTunes are literally all over the place! And it's really confusing.
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* Why do Voice Memos my wife has created on her iPhone appear in my Voice Memo App on my iPhone? At no point have I ever ticked anything she's recorded and asked it to appear on my phone? And similarly, why have 10's of my recordings appeared on her iPhone? Surely when you sync the individual phones they keep the Voice Memos separate to each phone?
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Hi,
Many thanks for replying, but I'm not sure I've explained myself very well, or not enough for you to be able to understand the various problems I'm having. In answer to your questions;
1. Yes I understand that if I rename a voice memo in iTunes it then can't find the same file on the phone. I'm just wondering why that is the case? If I rename the file in the voice memo app on the phone it alters it when syncing to iTunes. So why not the other way round? Surely keeping things in sync not out of sync is the idea? If I alter a Note in my phone, then my Mac, then my iPad (the same Note) it renames it on all my devices keeping them in sync. Why is this not the case for voice memos? Or is there a setting I've not got right?
2. No we use the same iTunes account on my Mac. The iTunes accounts is signed in to my Apple ID only. The voice memos keep getting mixed up between phones. Yet nothing else does. The music we've synced, the apps we purchased individually, the ringtones, books, etc. They all stay separate across the two devices when syncing. But voice memos for some reason keeping moving across to each others phones. Why?

Debit memo and Credit memo

Dear Expert,
I always confused on Debit memo and Credit memo...especially the business scenario behind and how it is reflecting in SAP system.
Let's take this example:
e.g the Price in the main Invoice is lesser than the actual price, and the difference needs to be recovered from the customer.
My analysis:
"The invoice is lesser than the actual price", Means Product should cost 100 USD, but we billed customer only in 80 USD, there are 20 USD difference. Customer should pay us the rest 20 USD. So our Account receiivable should be increased. So we need create Debit memo to customer and ask them to pay the money. Customer received the Debit memo, they will create credit memo and send it to us said they will pay the money.
Am i understanding correct??? Please kindly share in case you have better simple example. Thank you very much.

Your understanding on the subject is absolutely correct.
Let me share an another example with you for debit memo.
These manufacturer of nuts and bolts. Previously they have 100 nuts in one pack, but then they changed it to 120. But the order which was already made for 10 pkts delivered 1200 nuts instead of 1000. So they require to raises Debit memo.
But, these Debit memo generally avoid, b'coz people take at most care in creating a invoice. And people do like to pay when they are receiving end.
Where as, Credit memo can be result of return or complaint of defect or less quantities delivered.
Well, their behavior is control by SD document categ at billing doc type (Tcode VOFA)
- P is for Debit Memo (L2)
- O is for Credit Memo (G2)
These SD document category classify for the different types of documents that you can process in the sales and distribution system (for example: quotations, sales orders, deliveries, and invoices). So, these determines how the system stores and keeps track of document data. It enables the system to provide you with status information about delivery processing, billing, and documents that are used for reference (for example, inquiries and quotations).
So, if we summaries it,
Credit memo - Created to reduce the amount of an existing vendor payable, or customer receivable.
Debit memo - Used to recover costs from another department or faculty. May also be used to correct an incorrectly posted entry.
Hope this suffice your requirement.
Thanks & Regards
JP

Debit/Credit memo

I am confused whenever i come across the term Debit/credit.... here in MM point of view where we use this Debit memo and credit memo..
I am new to this pls tell me the following steps how to do that debit/credit memo..

Hi
DEBIT MEMO
The Debit Memo process is used for applying a debit to a customer account once a determination has been made that a customer has been undercharged as a result of a pricing or sales tax rate error. A Debit Memo Request is then created with the amount to be Debited, and placed on a billing block for review. It must then be released to become billing relevant, and appear on the billing due list. Periodic billing process creates a Debit memo to be sent to the customer, and posts an accounting document.
.CREDIT MEMO
You post a credit memo if too large an amout has been invoiced ,the total invoice quantity in the p.o history is reduced by the credit memo quantity
A transaction that reduces Amounts Receivable from a customer is a credit memo. For eg. The customer could return damaged goods. A debit memo is a transaction that reduces Amounts Payable to a vendor because, you send damaged goods back to your vendor.
Credit memo request is a sales document used in complaints processing to request a credit memo for a customer. If the price calculated for the customer is too high, for example, because the wrong scale prices were used or a discount was forgotten, you can create a credit memo request. The credit memo request is blocked for further processing so that it can be checked. If the request is approved, you can remove the block. The system uses the credit memo request to create a credit memo.
Thanks

Standard Process for Credit Memo & Debit Memos in CRM

Dear all,
What is the standard process for Credit Memo and Credit Memo Creation within CRM Complaint Transaction?
We can successfully replicate Return Items and Replacement Items in ECC Return Order
But I don't know how to process Credit Memo and Debit Memo in ECC.
What are the Accounting Implications takes place once we create and release the credit memo / Debit memo in CRM Complaint Transaction?
How to see the entire document flow?
I can create Credit Memo for a Returned Line Item in CRM without any errors. But I could not see any follow-up transaction or process either in CRM or ECC.
Kindly educate me in this regard. Your suggestions are highly appreciated
Best regards
Raghu ram
Edited by: Raghu Ram on Jun 23, 2010 6:29 PM
Edited by: Raghu Ram on Jun 25, 2010 8:30 AM

Hi suchi,
The following would be very useful to you.
To reduce implementation time for print forms development, SAP has created a set of the most commonly used forms - Preconfigured Smart Forms:
SD: Invoice, Quotation, Contract, Delivery Note, Order Confirmation, Scheduling Agreement, Inquiry, Cash Sales, Picking List
MM: Purchase Order, Request for Quotation, Contract, Delivery Schedule, Good Issue (3 scenarios), Good Receipt (3 scenarios)
FI: Dunning Notice
All can easily adapt these forms to their requirements, saving time and money.
Hope this information has been useful to you.
if you would like to have a smartform of your own i.e a Z or a Y then there is an option to get a sap script copied onto a smartform.
the sap script for the same is -> F140_DOCU_EXC_01
Go to Txn SMARTFORMS and just put the required smart form name in FORM field and then go to the menu bar: Utilities-> Migrate SAPScriptForm and juts type in the Script name which is given above(i.e F140_DOCU_EXC_01 )
I hope this will be an amicable solution.
if helpful pls reward.
Thanks
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5 TR6 Challan
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A/R Credit Memo & A/R Debit Memo

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In Sales A/R section, we have an option A/R Credit Memo which hits the credit side of the customer (...works fine).
For Debit Memos, I could not find an option, what I can see is only A/R Invoice of "Service Type". I think it is not an appropriate option. As it generates an Invoice document.
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In function debit memos are identical to invoices,
(i.e) A/R invoice of document types
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Creating debit/credit memo in AP with Payables Interface

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Hi.
If the invoice amount is zero or positive then the value is STANDARD. If the invoice amount is negative then the value is CREDIT. This means you can upload Standard invoices and Credit Memos.
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Enter sold-to party debit memo request - credit memo request

Hi Gurus,
I have a scenario here while creating a Debit memo request.
1. I create a Debit memo request with sold-to party 1000
2. I create a Credit memo request with the same sold-to party 1000.
That will be saved,
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So in VA02, I will refill it with Sold-to party 1000, then I can save it. But when I view it again, I will encounter the same message again.
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Creation of debit memo with reference to an old debit or credit memo

Hello all
can you please let me know how can we create a debit memo with reference to an old debit or credit memo.
If there is any other way to handle this type of transaction with out a sales order also provide me the transaction code also
Regards
RS
Edited by: ravi shankar on Jan 22, 2008 2:00 PM

Hi,
You cannot create a new debit/credit. memo with reference to an old debit/credit memo. You can create a new one with reference only with the invoice.
what you can do is cancel the old deibit/credit memo by VF11 & create a new one with reference to invoice.
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Credit/debit memo request

hi,
1) credit memo request - After create invoice in vf01, then if credit memo needed, must create credit memo request in va01 then only can create credit memo in fb75?
2) debit memo request - After create invoice in vf01, then if debit memo
needed, must create debit memo request in va01 then only can create debit memo in fb70?
3) credit/debit memo can only be created after credit/debit memo request is created?
4) if credit/debit memo not created in fb75/fb70, where in sd can create?
5) credit/debit memo request done via which tcode if not va01.
thanks

Hi Eliana,
1. A transaction that reduces Amounts Receivable from a customer is a credit memo. For eg. The customer could return damaged goods. A debit memo is a transaction that reduces Amounts Payable to a vendor because, you send damaged goods back to your vendor.
2. Credit memo request is a sales document used in complaints processing to request a credit memo for a customer. If the price calculated for the customer is too high, for example, because the wrong scale prices were used or a discount was forgotten, you can create a credit memo request. The credit memo request is blocked for further processing so that it can be checked. If the request is approved, you can remove the block. The system uses the credit memo request to create a credit memo.
You can use credit memos in Sales and Distribution (SD) for assigning credit memo requests to the open invoices and in Financial Accounting (FI) for assigning credit memos and payments to the open invoices and carry out clearing with them. If you use both Financial Accounting (FI) and Sales and Distribution (SD), there is a 1:1 relationship between the credit memo request and the credit memo item posted in Financial Accounting (FI). As soon as you bill the credit memo request together with other sales orders, or distribute the items of one credit memo request to several billing documents, the assignment is no longer valid and the system will not process it.
For credit memos, credit memo requests, and payments, you have the following assignment options:
- Assignment to a single invoice
- Assignment of a partial amount to an invoice
- Assignment to several invoices
When you post credit memos, the payment programme processes them automatically. If the credit memo is specifically related to a particular open invoice item, the payment program automatically attempts to offset the credit memo against the open item. If it is not possible to completely offset the credit memo against an invoice, you can post a debit memo to the vendor, who is to reimburse the amount. Then you can apply a multilevel dunning program.
3. Debit memo request is a sales document used in complaints processing to request a debit memo for a customer. If the prices calculated for the customer were too low, for example, calculated with the wrong scaled prices, you can create a debit memo request. The debit memo request can be blocked so that it can be checked. When it has been approved, you can remove the block. It is like a standard order. The system uses the debit memo request to create a debit memo.
4. As mentioned above, creating a credit or debit memo request enables you to create credit or debit memos based on a complaint. For this first create a sales document with the order type for a credit or debit memo request. You can create the debit or credit memo requests in the following ways:
Without reference to an order
With reference to an existing order
Here you enter which order the complaint refers to.
With reference to an invoice
Here you enter which invoice the complaint refers to.
In all cases, you specify the value or quantity that should be in the credit or debit memo
5. You can block the credit or debit memo request from being billed in Customizing. Go to Sales -> Sales Documents -> Sales document header -> Define sales document type and select the billing block field in the billing section. This request can later be reviewed along with similar ones, - if necessary, by another department. The request for a credit or debit memo can then be approved or rejected.
Credit memo and debit memo is created used the T.Code VF01, in which we have to choose the billing type as Credit Memo or Debit Memo.
Credit Memo Request or Debit Memo request are created using T.Code VA01, in which we have to select document type as G2 or L2.
Hope this gives you some idea.
REWARD IF HELPFUL.
Regards,
Praveen

Debit and credit memo request

hi,
1 may i know why need to create request in va01 prior to debit or credit memo in vf01?
2 if without request, what would happen?
thanks

Hi,
In the Standard Business Process, Once the Orders are invoiced and the amounts are released to the accounts, then we need to consult them before doing any adjustments. Only the authorized Finance Teams are allowed to issue the Credit / Debit memos.
The Finance team / or some manager would review this Credit/Debit Memo request and then release the document ( After making any necessary adjustments) .
If we dont create the request then we will not be able to create the credit memo from the SD side. i.e., thorough VF01.
Thanks.

Saels Quotation,Contract, Order, Return, Debit/Credit Memo Request

Hi,
I have Saels Quotation,Contract, Order, Return, Debit/Credit Memo Request. Now I want to change the Sales office, Sales Group and sales District in the existing Quotation,Contract, Order, Return, Debit/Credit. But in all the these requests these 3 fields are not in editable mode. Plese suggest me what is the best way I can change these 3 fields in the existing Quotation,Contract, Order, Return, Debit/Credit.
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You can also use :
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FYI
call function 'SD_SALESDOCUMENT_CHANGE'
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 schedule_inx = schedule_linesx
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 conditions_inx = conditions_inx
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 sales_cfgs_inst = order_cfgs_inst
 sales_cfgs_part_of = order_cfgs_part_of
 sales_cfgs_value = order_cfgs_value
 sales_cfgs_blob = order_cfgs_blob
 sales_cfgs_vk = order_cfgs_vk
 sales_cfgs_refinst = order_cfgs_refinst
 sales_text = order_text
 sales_keys = order_keys
 extensionin = extensionin.
Note:you can go SE80 and choose Function group = 'VBAK". you`ll find Fms.
Hope thisll give you idea!!
Pl... award the points.
Good luck
Thanks
Saquib Khan
"Some are wise and some are otherwise"

Confused on 'Credit memo''Debit memo''Credit/Debit'....

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