alternate recon acc

[Former Member]

hi,

i understand of the alternate recon acc. now i need clarification of this :

1) somehow, this down payment that posted to alternate recon acc will be cleared and the full amount (down payment + invoice balance balance) will be posted to actual gl recon acc, right?

2) alternate recon acc no influential to normal company account, right?

3) can i say it is also something like clearing account?

When u make a down payment

Down Pyament(Vendor Spl. Gl account) Dr.

Cash/Bank Cr.

When Down payment is settled against an invoice

Material Account Dr.

Down Pyament(Vendor Spl. Gl account) Cr.

Vendor Account Cr.

thanks

[Former Member · Accepted solution]

NO it cannot be a clearing account,you have to set it as reconciliation account.

Even though it is cleared agains the original recon account.

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[Former Member]

1. u have the clearing t-code for all the down payment postings ( f-39)

2.the DP a/c is a BS account.... this amount will be shown in diff bucket but it is not treated as revenue by company so no PL entry for this. also it reduces the credit exposure for the customers.

3. it is a recon a/c. used to hold the amounts received in lieu of revenue but not posted as revenue.

[Former Member]

Yes, your understanding is correct.

Satish

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[Former Member]

Hi,

In normal sense it acts as so.

Vijay