Forum Message

Customer is the same as supplier

Can I have the same company as a customer and a supplier and contra the cost of goods against the income from the sale?


Posted by Katriona on May 15, 2009 12:35 PM BST

Hi Katriona,

The simplest approach is to enter the company as a customer and record a credit note when you buy from them (set the Account in the credit note to Cost of Goods Sold). You can then allocate the credit note to an invoice.

(You could also do the opposite - create a supplier and record sales as a purchase credit note).

Cheers,


Posted by Mark McLaren (Solar Accounts) on May 15, 2009 1:18 PM BST

The answer given previously is not good accounting practice and as the sales and purchases are not separated thus making it difficult to reconcile suppliers/customers statements-this need looking at and rewriting.


Posted by Derek J Taylor on May 16, 2009 7:55 AM BST

Hi Derek,

Yes, it would be better if Solar Accounts could assign a purchase invoice to a customer and a sales invoice to a supplier. However as it stands the approach I suggested is probably the simplest alternative.

Cheers,


Posted by Mark McLaren (Solar Accounts) on May 17, 2009 9:27 AM BST