I have a similar question for a client related to discounts and I wanted to see if you can assist me.
We have clients who may take a remittance deduction from our invoices because previous agreements have permitted a backhaul allowance (loosely defined as a discount per case in exchange for the client using their resources to transport our merchandise). I am capable of creating the account but I want to make sure all of the proper designations used.
Within QuickBooks I propose the following to record these transactions:
- Item name “Backhaul”
- Description of item “Backhaul allowance per case”
- Type of entry “Discount”
- The account of record “Sales Discounts: Off invoice/Rebates”
- Price per case “-.25”
I am unsure of the assignment of each of these parameters. Likewise, I don’t know about using negative values for the numeric entry. But the numeric value will have to be calculated for every invoice since a quantity cannot be entered for this type of item.