Collection and clearing

Collections are made at all the location and corporate office. Normally the payment received is exactly same as the outstanding invoices. The collections made at the locations will be adjusted against the outstanding invoices.

Receipt of check: The accounting of check will be considered at the time when the actual check is deposited at the location.

   CR customer

            DR   check under collection

 CR Check under collection

              DR Bank

Receipt of Bank Transfer: The accounting of Bank Transfer will be done on the basis of the Bank advice received from the bank. The bank advice number must be captured in the document.