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Application: Oracle Payables
Title: Credit Memo Creation
Content
About Credit Memo………………………………………………….….3
Steps Required for Credit Memo Creation ………………………….….2
1. Enter Standard Invoice………………………………………….3
2. Check the Supplier Balance…………………………………….6
3. Enter Credit Memo and Apply Against Standard Invoice ….…9
Test Case………………………………………………………………15
4. Check Customer Balance to Check Result……………………15

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About Credit Memo
To reduce the supplier balance credit memo will be used. Credit memo will rise by supplier and
sent to customer. Credit memo used when we get discount on payables or on any price
differences. We can enter only negative balance through credit memo

Step-1 Create Standard Invoice

Application: Accounts payables

Nav: Invoice  Entry  Invoice

1. Select operating unit

2. Select supplier
3. Enter invoice amount
4. Enter invoice number
5. Select Payment terms as immediate
6. Enter line amount
7. Click on distribution

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1. Enter line amount
2. Enter account
3. Save it close this window
4. Validate the invoice

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1. Invoice status is validated

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Step-2 Check the Supplier Balance
Application: Accounts payables

Nav: Invoice  Enquiry  Invoice

1. Select trading partner

2. Click on calculated balanced owed

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1. Select operating unit
2. Click on calculate

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1. Note the balance owed

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Step3 Enter Credit Memo and Apply Against Standard Invoice
Application: Accounts payables

Nav: Invoice  Entry  Invoice

1. Select operating unit

2. Select invoice type as credit memo
3. Select supplier
4. Enter date and invoice number
5. Enter invoice amount as negative
6. Select match option as invoice
7. Click on corrections

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1. Enter invoice number
2. Click on find

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1. Enable select check box

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1. Enter credit amount as negative
2. Click on correct

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1. Click on ok

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1. Invoice status is validated
2. Accounted as yes
3. Approval as manually approved

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Step-4 Check Customer Balance to Check Result
Application: Accounts payables

Nav: Invoice  Enquiry  Invoice

1. Select trading partner

2. Click on calculated balanced owed

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1. Select operating unit
2. Click on calculate

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1. Supplier balance is decreased

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