Purchase Invoice Settings
This setting contains some miscellaneous options controlling the behaviour of various aspects of the Purchase Invoice screen.
- Signer Required
- With this box checked, Hansa will not allow Purchase Invoices to be approved unless the Signers field in the header contains a value.
- Warn On Unusual Amount
- When defining Accounts using the Account register (available in the System module and the Nominal Ledger), it should be specified whether each Account will normally be used on the credit side of a transaction, the debit side or both. In the case of Accounts which are normally used on one side only (for example, credit), a warning can be made to appear if an attempt is made, in the example, to debit the Account from the Purchase Invoice screen. The warning will not prevent the posting from taking place. If you would like this warning to appear, switch this option on.
- Purchase Order Item Transfer Control
- These options control the behaviour of the 'Invoice' function on the Operations menu of the Purchase Orders screen, used to create Purchase Invoices from Purchase Orders.
- If you need to use Hansa's Intrastat reporting feature, you should choose the second or third options. The Intrastat P/L document lists the Items that have been purchased from Suppliers in other EU countries. This document takes Item information from the fields on flip B of the relevant Purchase Invoices. If you are using the second or third option, these fields will contain the necessary information.
- Similarly, if you will be using the Purchase Order Accruals report or the Accrued and Accrued by Nominal Code options of the Purchase Order Status report, you should choose the second or third options.
- Consolidate Items to Supplier Cost Account
- If this option is chosen, all the Items on the Purchase Order will be grouped together on a single row on the Invoice indicating that they are to be posted to the same Cost Account (taken from the Cost Account on the 'Accounts' card of the Supplier record). If the Items on the Purchase Order have different VAT Codes, there will be a separate row on the Invoice for each VAT Code.
- If the Always use Full Qty from Purch. Ord. box (below) is off, only received Items on the Purchase Order (i.e. those on approved Goods Receipts) will be included on the Purchase Invoice.
- If the Supplier does not have a Cost Account, you will not be able to create a Purchase Invoice.
- Consolidate by Items and Project
- If this option is chosen, the Purchase Invoice will feature a separate row for each Item/Project combination on the Purchase Order. The Cost Account in each case will be the Purchase Control Account for the Item Group to which the Item belongs (if the Use Item Groups for Cost Accounts option in the Cost Accounting setting in the Stock module is in use) or that on card 5 of the Account Usage S/L setting. The Item Numbers, Projects and Quantities will be copied from the Purchase Order rows to the appropriate fields of the Purchase Invoice (on flip B). If the entire Purchase Order has been assigned to a Project (on the 'Terms' card), this will also be copied to each row on the Purchase Invoice.
- If the Always use Full Qty from Purch. Ord. box (below) is off, only received Stocked Items on the Purchase Order (i.e. those on approved Goods Receipts) will be included on the Purchase Invoice. However, all Plain Items (whether or not they have been received) will be included on the first Invoice raised from the Purchase Order.
- If the Supplier does not have a Cost Account, you will not be able to create a Purchase Invoice, even if all Purchase Order rows have their own Purchase Control Account.
- Transfer Each Row Separately
- If this option is chosen, each Item (i.e. each row) on the Purchase Order will have its own row on the Invoice, enabling postings to different Cost Accounts. These Accounts will be the Purchase Control Account on flip B of the Purchase Order, the Purchase Control Account for the Item Groups to which the Items belong (if the Use Item Groups for Cost Accounts option in the Cost Accounting setting in the Stock module is in use) or that on card 5 of the Account Usage S/L setting. The Item Numbers, Projects and Quantities from the Purchase Order rows will be copied to the appropriate fields of the Purchase Invoice (on flip B). If the entire Purchase Order has been assigned to a Project (on the 'Terms' card), this will also be copied to each row on the Purchase Invoice.
- If the Always use Full Qty from Purch. Ord. box (below) is off, only received Stocked Items on the Purchase Order (i.e. those on approved Goods Receipts) will be included on the Purchase Invoice. However, all Plain Items (whether or not they have been received) will be included on the first Invoice raised from the Purchase Order.
- If the Supplier does not have a Cost Account, you will not be able to create a Purchase Invoice, even if all Purchase Order rows have their own Purchase Control Account.
- Always use Full Qty from Purch. Ord.
- Usually, there must be at least one approved Goods Receipt before an Invoice can be created, so an Item cannot be invoiced until it has been received. If you would like to include all ordered Items in Purchase Invoices, irrespective of whether they have been received (even if the Purchase Order has no related Goods Receipt at all), check this box. This will apply whichever of the three options above has been chosen.
- This applies to all Items: Stocked, Plain and Service. The Received figure on flip C of the Purchase Order will not be updated when a Purchase Invoice is created, allowing the Items to be included on a Goods Receipt when they are received. Goods Receipts should still be entered so that stock levels are updated: this option merely allows Invoices to be entered before the goods have been received.
- If you would like to be able to create a Purchase Invoice for Plain and Service Items without a Goods Receipt but require a Goods Receipt for Stocked Items, leave this option switched off and switch on the Automatic receiving of Service and Plain Items box in the Stock Settings setting in the Stock module. In this case, the Received figure for Plain and Service Items on the Purchase Order will be updated when a Purchase Invoice is created, so no Goods Receipt will be necessary.
- Enter and Return
- When pressing the Enter or Return key, you can determine whether the cursor is to skip over the Object and Description fields in each row of the Purchase Invoice screen using these check boxes. If so, you can still move the cursor into those fields using the mouse or the Tab key if necessary.
- Calculate VAT
- Check the Calculate VAT box if you want Hansa to calculate the VAT amount for each Purchase Invoice when a figure has been entered to the TOTAL field (in the Purchase Invoice header). The calculation will use the percentage entered in the VAT Rate field (below).
- This feature is a useful time saving device in countries with a single standard VAT rate when it is necessary to enter several Purchase Invoices at once. The TOTAL for each can quickly be entered and a VAT calculation performed automatically. In the occasional instance of a Purchase Invoice containing a line not subject to standard rate VAT, the result of the calculation can be amended manually.
- The result of the calculation will be placed in the VAT field in the Purchase Invoice header. The purpose of this field is to provide a control figure. When the Purchase Invoice is saved, the VAT total from the Invoice rows (shown in the Calc. VAT field in the footer) should be the same as this control figure. You will not be able to save the Purchase Invoice if this is not the case.
- VAT Rate
- Enter here the figure to be used in the VAT calculation if the Calculate VAT check box (above) is switched on.
- The figure entered should be the percentage of the TOTAL which represents the VAT. This can be obtained using the formula:
- Standard Rate VAT x 100
- (100 + Standard Rate VAT)
- For example, if standard rate VAT is 17.5%, the formula gives 1750/117.5 which is 14.8936, the figure to be entered.
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Introduction to Settings in the Purchase Ledger
