On the Sales tab of the Basic data form, you are working with the following Periodic invoicing settings:
- Check for order sum/periodic sum difference: Compare periodic sum with order sum percentage
- Permitted difference: $ 0
- Method of modifying periodic schedule: Based on percentage.
Now create a sales order with the following data:
- The sales line has a sales price of $ 1,000.
- This sales line has been marked for periodic invoicing.
- You have recorded the following periodic payments:
- 1st period equals 25%, authorized and processed ($ 250)
- 2nd period equals 25%, authorized and processed ($ 250)
- Third period equals 25%, not authorized
- Fourth period is the final period, not authorized
Now change the sales price on the sales line from $ 1,000 to $ 1,200. Then run the Change periodic sums process to apply the changed sales price to the periods. The results will be as follows:
- The first and second periods have already been invoiced. This means they can no longer be modified.
- Based on the percentage, the third period is converted to 25% of the new order sum ($ 300).
As the first and second period should have been $ 100 higher, you can now choose to:
- Settle this sum in the final period.
- Add an additional period before the final period. For this additional period, you will not specify a percentage, but the amount under-invoiced in the first and second period ($ 100). In this scenario, the following sums will have been invoiced before the final invoice is sent out: $ 250 for both the first and second period, $ 300 for the third period, and $ 100 for the fourth period added later. Now $ 900 will have been invoiced in total. The remaining $ 300 will be invoiced on the final invoice after the goods have been shipped.
On the Sales tab of the Basic data form, you are using the following Periodic invoicing settings:
- Check for order sum/periodic sum difference: Compare periodic sum with order sum percentage
- Permitted difference: $ 0
- Method of modifying periodic schedule: Based on weighted percentage
Now create a sales order with the following data:
The sales line has a sales price of $ 1,000.
This sales line has been marked for periodic invoicing.
- You have recorded the following periodic payments:
- 1st period equals 25%, authorized and processed ($ 250)
- 2nd period equals 25%, authorized and processed ($ 250)
- Third period equals 20%, not authorized
- Fourth period equals 30%, not authorized
- Final period has not been entered yet.
Now change the sales price on the sales line from $ 1,000 to $ 1,200. Then run the Change periodic sums process to apply the changed sales price to the periods. The process is executed using the 'Based on weighted percentage' method. The results will be as follows:
- The first and second periods have already been invoiced. This means they can no longer be modified.
- The first and second period should have been $ 100 higher. This sum will now be corrected by recalculating the sums for the third and fourth periods. Initially, these periods were $ 500 (50% of $ 1000) collectively, but they should now be $ 700 collectively (under-invoiced sum of first and second periods collectively + 50% of $ 1200 = $ 100 + $ 600).
- The third and fourth periods will be weighted for recalculation purposes, because they do not have the same percentages. This means that, in this example, two fifths of $ 700 will be allocated to the third period, and three fifths will be allocated to the fourth period. The periodic payments will now be $ 280 and $ 420 respectively.
Also in this example, the program will detect a difference between the newly calculated sums for the third and fourth periods and the order sum percentage. This difference is, of course, the result of the weighted percentage having been applied.
A final period to the amount of '0' will ensure that the period turnover is transferred to a provisional or final turnover ledger account.
You can also use the Check for order sum/periodic sum difference field in the basic data to indicate that you want to compare the total distributed sum with the total order sum. If you were then to look at the third and fourth periods from the second example again, no difference would be found, because after application of the weighted percentage, the distributed sum would be exactly equal to the total order sum.
Example 1