Bill Prepayments: Generated Transactions
When the prepayment is released, the system generates the following transaction.
| Account | Debit | Credit |
|---|---|---|
| Cash account | 0.00 | Amount |
| Vendor AP account or Prepayment account | Amount | 0.00 |
If you do not specify a separate account for prepayments, the vendor prepayments will be debited to the vendor AP account.
When a prepayment application is released, the system generates the following transaction.
| Account | Debit | Credit |
|---|---|---|
| Prepayment account | 0.00 | Amount |
| Accounts Payable account | Amount | 0.00 |
When a refund for a prepayment is released, the system generates the following transaction.
| Account | Debit | Credit |
|---|---|---|
| Cash account | Amount | 0.00 |
| Vendor AP account or Prepayment account | 0.00 | Amount |