Tag: Accounting Information System

Down Payment Interim Account & Down Payment Clearing Account An explanation / definition of what the Down Payment Interim and Clearing Accounts are for and how they are used. When a company receives or makes a down payment, the payment amount is recorded in an interim account before it’s deducted from the final transaction. For period end auditing purposes, the transactions that make up the value of the interim accounts must be easily auditable. In SAP Business One, postings are made to the following two interim accounts in the down payment process: Down payment clearing account Down payment interim account The postings to these two accounts are automatically reconciled as follows: Down Payment Request ProcessWhen you create a…