My own accounting python euler problem

[Steven D'Aprano]

On Tue, 10 Nov 2009 14:59:13 -0800, John Machin wrote:

> On Nov 8, 8:39 am, vsoler <vicente.so... at gmail.com> wrote:
>> In the accounting department I am working for we are from time to time
>> confronted to the following problem:
> [snip]
> 
>> My second question is:
>> 2. this time there are also credit notes outstanding, that is, invoices
>> with negative amounts. For example,  I=[500, 400, -100, 450, 200, 600,
>> -200, 700] and a check Ch=600
> 
> How can a credit note be "outstanding"? The accounting department issues
> a credit note without recording what invoice it relates to?

Yes, that can happen.

(1) Human error, or laziness, or dumb software that doesn't understand 
credits apply to specific invoices.

(2) The credit note represents a settlement discount, rebate, 
"advertising allowance" or other kickback, or similar.

(3) An invoice is paid in full, then later the client claims a refund  
against it. If granted, the credit can't be applied to the invoice that 
is already flagged as paid, so it remains as an "unallocated" credit note.

(4) Or simply that the boss forbids you from allocating credit notes 
until payment is received.


-- 
Steven