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Answer Posted / mohammed mustafa
Rebates are nothing but special discount, which is given to
customer when he/she achieve particular sales volume for an
specific period of time.
Example-
Sales Volume Rebate
Rs.100000 5%
Rs.250000 10% etc
If customer buy Rs.250000 worth of material during one year
or period specified by company, then company liable to pay
10% special discount in the form of Rebate at the end of
the period. This 10% will be transfered to Accuruals
Account Key in pricing so that respected G/L a/c get
updated for Accuruals.
Let me know if u have any question write to
reach2muhammad@gmail.com
Mohammed Mustafa
ERP Consulatnt, Godrej Infotech Ltd, Mumbai
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