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Vendor issues credit memo for overcharges - Is there a way to return funds back to the PO?

edited Nov 28, 2019 2:51PM in Accounting / ERP 4 comments

We're a small and growing SaaS company and do not use inventory management in P2P.
How do you process refunds for blanket purchase orders? Many of our purchases are services and subscriptions based on usage.
We were overcharged for one of our services and ideally we want the credit from the vendor to return funds to the blanket PO. The logic is... we got our blanket PO approved to cover say 'X' amount for one year of service. If we were overcharged, those credits should return funds to our PO so we can use those unused funds to the end of the term.

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