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Jul 23, 2010 at 10:07 AM

Difficult scenario


Dear Experts:

I have created a vendor account group for the purpose of vendor master data creation ZMG for one of our unique vendor Samsung. I have not yet defined recon account for it due to the confusion. The problem is there will be many vendors created under ZMG group for catering the nature of services they will be providing to us(advertisements, marketing e.t.c). Samsung is our main vendor and sometime we will be receiving advance payments from it for incurring expenses and on other occasions we will be receiving them as reimbursements when we have paid to vendor on behalf of Samsung. Now there are three situations which creates confusion

1: We pay on behalf of Samsung, in this case Samsung may provide us funds in advance or after when we have made the payments ,now how to cater this scenario, because in advance case Samsung becomes our vendor and in later case Samsung becomes our customer, which recon account to be attached ,its nature and how to knock of payments e.t.c

2: In third and last scenario Orient (we) share burden of expenses with Samsung in 40:60 respectively. 40 % will be expensed. Remaining 60% will be borne by Samsung and it will be paid by us initially on behalf of Samsung.

Please help me sort out this problem