USA Supplier advance payment bill for goods not received that affect inventory

[maryate22]

How to post a supplier bill received to pay before goods are received that affect inventory and how to post the inventory received after bill is posted that will show the inventory goods received on QB online.

 

[kirby]

You could do this

DR Deposit on supplies purchase (a new asset account you can set up)
CR CASH
(To record advance payment on inventory purchase)

Then when supplies are received:

DR Inventory
CR Deposit on supplies purchase
(to record receipt of inventory and to clear the Deposit acct)

 

[maryate22]

Thank you, that will work

 

[maryate22]

One more question, when supplies are received, how to apply the corresponding PO for inventory. kind of confusing, the above information will be only by JE.

 

[BIG E]

DR Cost of Goods Sold
CR Inventory