How to record a Debit Memo?

I've got a way of handling your Accounts Payable transactions concerns, HZNLED20.

You'll have to create an offset account and then record a journal entry to write off vendor balances and clear it from your AP account on your balance sheet. I'll show you how to do it:

1. Go to the Company menu and select Make General Journal Entries.
2. Select the Account field and choose Accounts Payable from the dropdown list.
3. Enter the amount under the Debit column, tab to the Name column, and select the vendor name from the dropdown list.
4. In the next line, choose the offset account you've created and enter the amount under the Credit column.
5. Click on Save and Close.

Once done, apply the journal entry to the existing debit/credit. Here are the steps:

1. Go to Vendors and select Pay Bills.
2. Select the bill and choose Set Credits.
3. Under the Credits tab, select the available credit and select Done.
4. Select Save & Close.

Here are some links you can read. These will show you how to fix customer and vendor balances as well as AR and AP balance issues:

• Write off customer and vendor balances.
• Resolve AR and AP balances on the cash basis Balance Sheet.

I'd still recommend checking with your accountant to ensure your books are accurate.

Let me know if you have follow-up questions about managing your accounts. I'll be right here willing to help.