CHAPTER 6

Sales Process Using

Smartbooks
At the end of this chapter, students will be able to:

1. Understand the sales process flow using Smartbooks and its related documents
and reports.

2. Perform sales procedures using Smartbooks

3. Differentiate the effects of each process flow in the inventory.

Process Overview

• Sales Process moves from issuing a sales order to selling goods and services to delivering those goods to
invoicing the customer for their purchases
Sales Documents and Reports

Sales Order is a commitment from a customer or lead to buy a product or service.

• The document serves as a foundation for planning production purchase orders.

• Creating sales orders does not post value-related changes in the accounting
system.
However, if the sales order is created for items, the ordered quantities are listed in
Inventory Management as reserved for the customer.

This information is important for:

✓ Optimizing ordering transactions and stockholding and
✓ Ensuring that customer requirements are dealt with quickly and satisfactorily
Navigation & Viewing

1. Go to Sales > Sales Order

2. In the Customer No/Customer Name field, click the selection list to view the list
of customers to select with and address the transaction with. Double click the
customer name or select it then press the “OK” button.

3. In the Journal Date and Delivery Date, the user can change the date based on
the specified date.

You can also only input date in the Journal Date, and then the system will
automatically adjust the date in
the Delivery Date in reference to the payment term period assigned to the
customer.
4. In the Details tab, select the item by clicking the selection list the Item Code/Item Name column
then performing double click on the item or selecting it then click the “OK” button.
5. After selecting the item, price per quantity will reflect. Adjust the quantity in the
Quantity column

6. Once you are done, click the “Add” button

7. Upon finalizing all the order details, click the “Save” button at the right-most portion of the
system. You will know that it’s been saved if you see the successful system message below.
Shipment

Shipment, also known as the Delivery document, is a legally binding document

indicating that the delivery of goods or services has occurred. Without this
document, goods can be delivered only if an invoice has already been created.

When you create a shipment, the corresponding goods issue is also posted. The
goods leave the warehouse and the relevant stock changes are posted. When the
stock is changed, the values in the accounting system changes as well.
Navigation & Viewing

1. Go to Sales > Shipment

2. In the Customer No/Customer Name field, click the selection list to view the list
of customer to select with and address the transaction with. Double click the
customer name or select it then press the “OK” button.

3. In the Journal Date, Due Date and Creation Date, the user can change the date
based on the specified date. You can also only input date in the Journal Date, and
then the system will automatically adjust the date in the Delivery Date in reference
to the payment term period assigned to the customer.
4. In the lower left portion of the document, click the arrow in the Copy From
button and select Sales Orders. This process will let you capture the details of the
base document previously added.
5. A popup window will appear with all the list of open Sales Orders.
Select the specific SO you are going to process into receiving by ticking
the checkbox and then clicking the “Choose” button.
6. A final window will appear with the specific PO with an “enable edit”
on the quantity and price. In here, you can modify the details as to the
actual goods received to the supplier. Click “Finish” button if all details
are final.
7. You can input own remarks on the document in the Notes field.
8. Click “Save” button to add the Receiving document
9. A system message will appear. Click OK.
10. You can verify if the process was completed successfully if the document status
changed from Open into “Posted”.
Sales Return

For various reasons, customers sometimes return goods. In this case, you create a return document.
Navigation & Viewing
• 1. Go to Sales > Sales Return
2. In the Supplier No/Supplier Name field, click the selection list to view the list of customer to select with
and address the transaction with. Double click the customer name or select it then press the “OK” button.
3. In the Journal Date and Creation Date, the user can change the date based on the specified date.
4. In the lower left portion of the document, click the arrow in the Copy From button and select Shipment.
This process will let you capture the details of the base document previously added.
5. A popup window will appear with all the list of open Receiving. Select the specific Receiving
document you are going to process with a return by ticking the checkbox and then clicking the
“Choose” button.
6. A final window will appear with the specific Receiving with an “enable edit” on the quantity and price.
Please take note that with the Purchase Return you need to specify the actual quantity you are about to
return as this will affect the total quantity and price in the next document to process, which is the AP Voucher.
Click “Finish” button if all details are final.
7. You can input own remarks on the document in the Notes field.
8. Click “Save” button to add the Receiving document
9. A system message will appear. Click OK.
10. You can verify if the process was completed successfully if the document status changed from Open
into “Posted”.
AR Invoice
Invoice documents represents a legally-binding document. When an invoice is
received, the posting is made to the related customer accounts in the accounting
system. If a delivery did not precede the invoice and you sell the warehouse items,
stock quantities are also updated accordingly when you issue the invoice.

If you create an invoice without reference to the delivery, the system automatically
posts changes to the stock. In other words, if a delivery already exists, errors can
occur in inventory management because the delivery quantity is posted twice in
the system.
1. Go to Sales > Invoice
2. In the Customer No/Customer Name field, click the selection list to view the list of customer to select
with and address the transaction with. Double click the customer name or select it then press the “OK”
button.
3. In the Journal Date and Creation Date, the user can change the date based on the specified date. You
can also only input date in the Journal Date, and then the system will automatically adjust the date in the
Delivery Date in reference to the payment term period assigned to the customer.
4. In the lower left portion of the document, click the arrow in the Copy From button and select Shipment.
This process will let you capture the details of the base document previously added.
5. A popup window will appear with all the list of open Receiving. Select the specific Receiving document
you are going to process with a return by ticking the checkbox and then clicking the “Choose” button.
6. A final window will appear with the specific Receiving with an “enable edit” on the quantity and
price. You can observe that the quantity presented was net of the items that’s been returned. Click
“Finish” button if all details are final.
7. You can input own remarks on the document in the Notes field.
8. Final amount subject for payment are reflected in the Balance Due field. Upon finalizing all the details,
click the “Save” button at the right-most portion of the system.
9. A system message will appear, click “OK
10. You can verify if the process was completed successfully if the document status changed from Open
into “Posted”.
Credit Memo

• A credit memorandum- often shortened to credit memo, is given to a

customer by a seller that provides goods/services. The memo is
issued as a way to reduce the amount owed by the customer. The
deduction is taken from an invoice that was previously issued, which
is the most common type of credit memorandum.*
•
*https://corporatefinanceinstitute.com/resources/knowledge/finance
/credit-memorandum/
Navigation & Viewing
1. Go to Sales > A/R Credit Memo
2. In the Customer No/Customer Name field, click the selection list to view the list of customer to select
with and address the transaction with. Double click the customer name or select it then press the “OK”
button.
3. In the Journal Date, Due Date and Creation Date, the user can change the date based on the specified
date. You can also only input date in the Journal Date and Due Date, and then the system will automatically
adjust the date in the Delivery Date in reference to the payment term period assigned to the customer.
4. In the Details tab, click the selection list in the Item Code and Item Name column, to select the item
you wish to process for adjustment then click the “OK” button.
5. Input quantity in the Quantity column
6. Once item is okay, click “Add” button
7. You can input own remarks on the document in the Notes field.
8. Final amount subject for adjustment are reflected in the Total/Balance Due field. Upon finalizing all the
details, click the “Save” button at the right-most below portion of the system.
9. A system message will appear, click “OK”
10. You can verify if the process was completed successfully if the document status changed from
Open into “Posted”.
Payment
After the Invoice has been sent to the customer, it’s time to actually collect the money owed for the goods
and/or services delivered. This is done through the Treasury Module.
Navigation & Viewing
1. Go to Treasury > Cash Inflows- Customer
2. In the Supplier No. field, click the selection list to view the list of supplier to select with and address the
transaction with. Double click the supplier name or select it then press the “OK” button.
3. In the Journal Date, Due Date and Creation Date, the user can change the date based on the specified
date. You can also only input date in the Journal Date and Due Date, and then the system will automatically
adjust the date in the Delivery Date in reference to the payment term period assigned to the customer
4. In the Documents for Payment tab, list of open AP Vouchers subject for payment will appear. Select
specific document by ticking the checkbox.
5. You will see the total amount due for payment in the Total Amount Due field.
6. Next step is to ensure where to get the collection from
the Invoice, also known as the Payment Means section. In
the example, I will select Cash tab as the payment means.

7. Click the dropdown list in the G/L Account field then

select Cash on Hand
8. Input the amount reflected by the amount due in the
Amount field.

9. You can input own remarks on the document in the Notes

field.
10. As a sum for the collection you are about to made, you
will see the amount to be collected in the Amount Paid
field.

11. If all details are final, you may now add the document by
clicking the “Save” button.

12. A system message will appear, click “OK”

13. You can verify if the process was completed successfully if the document status changed from Open
into “Posted”.