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the payment is to be a part (provisional) payment, then the bill type should be P. When a bill is to be<br />
registered for the remaining (adjustment) amount, the bill type entered should be A. Whenever a<br />
single bill is raised for the entire amount in the purchase order, then the bill should be treated as an<br />
adjustment bill. On entering the amount claimed against each item, the computer cross checks with<br />
the maximum amount allowable for that item on the basis of the payment percent in the purchase<br />
order. The computer generates a bill serial number for reference purpose. Any recovery statements<br />
against a particular vendor are to be registered in the system. The recovery from a particular vendor<br />
are to made against a purchase order raised against him. The type of recovery and the amount to be<br />
recovered are required once the vendor code and purchase order number are cross checked by the<br />
computer. The recoveries registered may be adjusted against a particular vendor bill when the bill is<br />
being passed.<br />
If the bill is an adjustment bill, then it has to be linked to receipt vouchers before any further action<br />
can be taken on it. This activity links the material that has been received against the purchase order<br />
with the bill. It must be noted that the values on receipt vouchers which are partly linked or not<br />
linked at all are linked to the adjustment bill.<br />
Payment may not be made before the bill is passed. A provisional bill may be passed once it has<br />
been registered whilst an adjustment bill may only be passed after it has been linked to receipt<br />
vouchers. In case of adjustment bills the amount that is passed cannot exceed the amount against<br />
which material has been linked. While passing a bill any recoveries that are to be made against the<br />
vendor are accounted for in the bill. The recoveries in this case are made purchase orderwise. The<br />
amount that is to be recovered in the bill is therefore deducted from the total bill amount. Once a bill<br />
has been passed, there is provision to modify the recovery amount.<br />
Once a bill has been passed, the payment advice is generated. The particulars of the bank of the<br />
vendor (if payment is to be made through a bank) are to be entered and a printed copy of the<br />
payment details is obtained.<br />
In case recoveries are to be made by accounts after a bill has been passed, then they must be<br />
identified and recorded against the particular bill. These recoveries are distinct from the recoveries<br />
made against a purchase order. It is for this simple reason tthat the recovery type for such recoveries<br />
should always begin with the digit 3. A final deduction in the amount that has been passed would<br />
therefore be nescessary.<br />
The cheque number, cheque date and the cheque amount are recorded when a cheque is passed<br />
against a particular bill. The cheque amount should not exceed the amount that has been passed by<br />
accounts. In case the bill is a provisional bill, it has to be regularised. This activity may be done after<br />
the part payment has been made and before the adjustment bill is registered. This activity involves<br />
the linking of the provisional bill to receipt vouchers. The values in the receipt vouchers for an item<br />
in the bill are either comppletely linked or partly linked to the bill. The partly linked receipt<br />
vouchers and those receipt vouchers which have not been linked are linked against the item in the<br />
adjustment bill after it has been registered. Thus regularising the provisional bill and linking the<br />
coressponding adjustment bill actually links up the entire material received against the purchase<br />
order.<br />
CONTENTS<br />
Ordnance Factories Institute of Learning, Dehradun 22