Vendors: Implementation Activity

The following activity will walk you through the process of creating a new vendor.

Video Tutorial

This video shows you the common process but may contain less detail than the activity has. If you want to repeat the activity on your own or you are preparing to take the certification exam, we recommend that you follow the instructions in the activity steps.

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Story

Suppose that SweetLife Fruits & Jams company has found a vendor, the CleanUp company that provides cleaning services and that agreed to sell its services on credit, with payments due in 30 days and a 3% discount if the services are paid within 10 days.

Acting as a SweetLife accountant, you need to create the new vendor in the system.

Process Overview

In this activity, you will create a new vendor on the Vendors (AP303000) form. On the tabs of this form, you will specify the vendor's address and contact information. You will then review the default settings, which the system inserts to the vendor account when creating the vendor, and then change the credit terms for the vendor.

System Preparation

To prepare the system, do the following:

1. Launch the MYOB Advanced website, and sign in to a company with the U100 dataset preloaded. To sign in as an accountant, use the following credentials:
   • Username: johnson
   • Password: 123
2. On the Company and Branch Selection menu, also on the top pane of the MYOB Advanced screen, make sure that the SweetLife Head Office and Wholesale Center branch is selected. If it is not selected, click the Company and Branch Selection menu to view the list of branches that you have access to, and then click SweetLife Head Office and Wholesale Center.

Step 1: Creating a Vendor Account

To create a vendor account, do the following:

1. Open the Vendors (AP303000) form.
2. On the form toolbar, click Add New Record.
3. In the Summary area, specify the following settings:
   • Vendor ID: CLEANUP
   • Vendor Status: Active (inserted automatically)
   • Vendor Class: DEFAULT (inserted automatically)
4. On the General tab, in the Account Name box, specify CleanUp Co.
5. On the form toolbar, click Save to save your changes.

Step 2: Specifying Contact Information and Address

To specify the vendor's contact information and address, do the following:

1. On the General tab, specify the following settings in the Primary Contact section:
   • Name: Loretta W Glenn
   • Job Title: General manager
   • Email: lglenn@cleanup.example.com
   • Business 1: 315-719-5308
2. In the Account Address section of the General tab, specify the following main address for the vendor:
   • Address Line 1: 893 Confederate Drive
   • City: Geneva
   • State: NY - New York
   • Postal Code: 14456

Step 3: Specifying Financial and Payment Settings

To specify the financial and payment settings for the vendor, do the following:

1. On the Financial tab, in the Terms box, select 310N30.

   By selecting this setting, you indicate that you will pay the net amount within 30 days or will take a 3% discount if you choose to pay within 10 days.

2. On the Payment tab, in the Default Payment Settings section, make sure that CHECK is selected in the Payment Method box and 10200WH cash account is selected in the Cash Account box.
3. In the Default Payment Settings section, specify the following settings:
   • Payment By: Discount Date
   • Payment Lead Time (Days): 3
   • Pay Separately: Cleared
4. On the form toolbar, click Save to save your changes.

Step 4: Reviewing the Default GL Accounts

To review the default GL accounts of the vendor, do the following:

1. Open the GL Accounts tab.
2. In the boxes on this tab, review the GL accounts to be used for settlements with this vendor.