Need to know Brief Definition of Some Business Scenarios

[Former Member]

Hi Fredz,

I want to know breif definition of Some Business Scenarios means What is the meaning of Asset Sales Like that...

Anybody Pl send me Jst 4lines of Each Scenario.......

If u know any other scenarios also pl send me.......

1. Asset Sales

2. Export Sales

3. Domestic Sales

4. Deemed Export Sales

5. Scrap Sales

6. Credit Memo

7. Debit Memo

Thank u

Babu Rao

[Lakshmipathi · Accepted solution]

Dear babu rao

I dont think such basic questions are posted in this forum

Anyway please find below the explanations.

1) Asset Sales

If you are running a plant in which some machineries are become obsolte. In order to dispose of those machineries, you are selling to some vendors which is called Asset Sales.

2) Export Sales

We can classify this as direct export, indirect export, deemed export. Direct export is nothing but you are exporting your products directly to a buyer in another country. Indirect exports is you are not exporting your product directly to a customer in another country but through some third party. "Deemed Exports" refers to those transactions in which the goods supplied do not leave the country.

3) Domestic Sales

If you sell your products locally within the same region, then it is said to be domestic sales

4) Deemed exports

Already replied in sl.no.2

5) Scrap sales

In manufacturing unit, there will be rejections (line rejection, customer rejection) which cannot be further used for reprocessing. In order to clear the dump in plant, the manufacturer disposes those waste material. This is called scrap sales.

6) Credit Memo

After invoicing your customer, you realise that there is some discrepancy in billing or short quantity despatched. In order to set right this, you issue a credit note.

7) Debit memo

This is vice versa of credit note. After billing, you realised that you have despatched in excess of invoice quantity and to recover the difference of excess quantity, you raise a debit memo.

Thanks

G. Lakshmipathi

[Former Member · Accepted solution]

Hi Lakshmipati

Hw r u?

I am not a senior in sd

I am junior

Dont compare like u yr

Hw things going on...........

Anyway thanks for u r reply

[ranjeetrajendra_jain]

Hi Babu,

1. Asset sale

This scenario captures sales of your company assets there in showing revenue and decreasing company assets

2. Export Sales

Foreign Trade. Sales out of comapny country

3. Domestic Sales

Sales within the Company Country

4. Deemed Export Sales

If you don't have exports licence to some country and you take help of another company and export under their licence.

5. Scrap Sales

Rejected stock or damaged inventory could be covered in scrap sales

6. Credit Memo

If you wish to credit the customer with some amount due to various reasons

7. Debit Memo

If you wish to debit the customer with some amount due to various reasons

Hope this helps

Ranjeet

[Former Member]

hi,

asset sale

The system enables you to post the entry to Accounts Receivable, the revenue posting and the asset retirement in one step. In this posting transaction, you have to post the revenue (debit A/R, credit revenue from asset sale) first, and then post the asset retirement. An indicator in the posting transaction specifies that the system posts the asset retirement after the revenue posting.

2. Export Sales

outside the country

3. Domestic Sales

within country

4. Deemed Export Sales

This scenario deals with Deemed Export that refers to sale of goods to customers within India, who are holders of an export license.

5. Scrap Sales

The sale of scrap (non-stock) shall be mapped as a direct manual FI entry. The customer will be created as a FI customer. No Logistics module will be involved in the process.

6. Credit Memo

when you overcharge customer or need to pay for the return goods.

7. Debit Memo

Debit Memos shall be issued in case of price difference, sale tax difference and interest on usance period and overdue payments.

regards

sadhu kishore