Business Central Introduction
Selling and Purchasing

 Ing.J.Skorkovský,CSc.
Department of Business Management
Faculty of Business and Administration
Masaryk University Brno
Czech Republic




Double-entry booking (Selling process –> Sales Order->Sales Invoice)
VAT (25%)
Account (5610)
Revenue
Account (6110)
Customer
Account (2310)
Bank (2920)
125
25
100
125
125

           Parameters
Item card
Parameters
Sales Order Header
Customer
Sales Order Line
Invoice (1st)
Payment (2nd)
Balance on Customer card =
125 ->100+25
Balance on Customer card =
0 ->125-125
Debit
Credit
Debit
Credit
Debit
Credit
Debit
Credit
Note: the amounts in total entries do not match the amounts in the animated
example. It is only an explanation that the relevant entries (transactions)
are created gradually during the business example

Sales Order



Sales Invoice (F9)
BC creates all
     entries
Either use the F9 key or find the Post icon. It is easier and therefore faster to use keyboard
shortcuts.
G/L Entries
Item Ledeger Entries
Customer Ledger Entries
Three possible options

Posted Sales Invoice (after posting by F9 hot key)



General Ledger (impacts) –  One way to get at it
+ Sign -> Debit , - Sign -> Credit
719,50+179,88=899,38

Demand creation – Sales Order (only theory so far)
•Reasons
•Planning - calculation of replenishment and Creation of Purchase Order (PO)
•Creation of two different PO covering demand with different costs
•Posting both PO (Purchase Order documents)
•Partly posting of Sales Order  (For example, not everything was delivered by Vendor )
•See applied Item Ledger Entries (this affects stock levels)
•See important fields on the Item card
•Inventory Adjustment (will be explain at the end of the course- only PIS2 course)
•See the impact on item General Ledger Entries
•See the impacts on Value entries (will be explain more in detail later – only PIS2 course !!!!)
•

Logic

Parameters
Item card
Customer card
Parameters
Sales Order Header
Sales Order Line
Requisition worksheet
Netting

Parameters
Item card
Vendor card
Parameters
Purchase Order Header
Purchase Order Line
Sales Item ledger entry
Purchase Item ledger entry
Purchase  Item ledger entry
Value  entry
Business Central supports supply planning for wholesale companies where the resulting supply orders
can only be transfer and purchase orders.
The main interface for this planning work is the Requisition Worksheet page,
Which will be shortly  described by tutor (only PIS2 coursce).
Value  entry
Value  entry
Material Requirement Planning
Proposals to replenish warehouse

Customer card I.
Customer  list


Customer card II.



Customer card III.



New item card (FIFO)
Lot-for-lot : The quantity is calculated to meet the sum of the demand that comes due in the time
bucket.
Lot Accumulation period explanation on the next slide

Lot- for- Lot->  Economic Order Quantity
EOQ & Wilson Formula Calculation | Free Excel Examples
Time
Quantity
Time
Quantity
Instead of three different purchases over time, everything is                        purchased only
once

FIFO costing method (home study)
An item's unit cost is the actual value of any receipt of the item, selected by the FIFO rule.
In inventory valuation, it is assumed that the first items placed in inventory are sold first.

New Sales Order
To find Sales orders you can use searching window !!!!
Sales Orders
 already
created
but not
postet

Sales Order created
It's just a warning based on Sales and


Setting warning types in BC
Credit limit (LCY)
Overdue
Both Warning
No Warning
Options
Credit Limit (LCY)
Specifies the maximum amount you allow the customer to exceed the payment balance before warnings
are issued.
Learn more
Explanation : LCY=Local Currency

Sales Order print confirmation->Preview only
It can also be format pdf


Sales Order posting (by use hot key F9)->Result->Sales invoice
You can also find it in BC
using the search window

List of all Posted Sales Invoices



Customer Ledger Entries (raw data)
Ctrl-F7


Item Ledger Entries
Item card 1936-S
Ctrl-F7
Edit
Costs, selling prices, decrease or increase in stock levels)

General Ledger Entries



Purchase Order – List of Vendors
Vendor Card


Purchase Order – Vendor Card



General Ledger Settings
•Link to the general ledger account settings on which the purchase order that will become the
purchase invoice will be posted
See tab Invoicing and options : Show more fields, Select from
full list->Edit list->Option Setup
Item card –> one card=one chosen parameter
Customer card –> one card=one chosen parameter

Purchase Order – document (Header and Lines)



Purchase Order (PO)  – document (Header and Lines)
Where there is
an orange asterisk
you need to add the data !!!!

PO- Preview



PO -  preview posting by appropriate icon
Invoice (could be modified by personalize feature-adding fields)
Inventory (could be modified by personalize feature-adding fields)
G/L Entries see next slide

General Ledger Registers-> Archive



PO – General Ledger Entries - preview



PO – F9 posting