Let me help you record the cash returned from your supplier, @navincne2003.
Cash received mostly from a transfer does not affect the accounts related to the name of the transaction. With this, it is recommended to create a new account and use it to record the cash as a deposit. Let me show you how.
First off, here's how a new cash account is created:
Go to Accounting.
Select Chart ofAccounts.
Click New.
Under Account Type, select Bank.
On the Detail Type menu, select Cash on Hand.
Enter the name of your new account. Say Petty Cash.
Click Saveand Close.
Once done, let me show you can the deposit is recorded:
Go to the +New button.
Under OTHER, select Bank Deposit.
On the Account menu, select your newly created petty cash account.
Below the Add fundstothisdeposit selection, choose the supplier name and account used on the transfer.
If you have any other questions aside from recording cash transactions from your suppliers, please let me know in the comments below. I've got your back. Stay safe!
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