Hello

Sorry for the ridiculous title to my question, I couldn't think how else to put it. I have a situation where TeaGreen owes us R20,000 for items we sold to them (I had issued customer invoice). At the same time we owe TeaGreen R100,000 (and I have created a supplier invoice). Tea Green couldn't pay us. So what they did was simply reduce our outstanding balance to R80,000. So now in pastel, what is the best way to fix things.

We don't track inventory. So now to fix things, can I simply do this:

  • For TeaGreen our Customer: Issue a R20,000 customer credit note
  • For TeaGreen our Supplier: Create a R20,000 supplier Return & Debit
  • And Bob's your uncle? VAT etc is sorted out properly?