posting of receivables to payables
Can we adjust the a/c receivable to post to payables at month end for few customer who is also a vendor to the company.
Sridhar Vasudevan replied
Here is some brief on this.
Although, SAP provides two subledgers as Receivables and Payables separately, Accountants consider any amount owed to the company as receivables and owed by the company as payables. It does not matter whether the party to whom the money is owed or owned is under Receivables or Payables.
The pointer you have given, primarily helps reclassify Accounts receivables and Accounts payables to a different GL account to be used at the time of Balance sheet preparation as short term or long term Rece/Payables.
If there is a limitation in CRM to link directly to a vendor, you need not worry much, because receivables or paybles depends on the debit or credit balance of rec/payables. Otherwise same functionality is offered by both receivables and payables.