If you paid a deposit to your supplier before your supplier issued an invoice, you need to treat it as a deposit paid.

Scenario

On 4th February 2023 - You paid a deposit to Azlan Restaurants RM750
On 19th February 2023 - Azlan Restaurants issued a supplier invoice with full amount RM1500 to you.

Follow the steps below to record this transaction:

1. Create a Deposit Paid under Asset account.

2. Go to Bank > Money Out > +New to record a Deposit Paid.

3. Enter the Deposit Paid transaction Date. In the items line, select the Deposit Paid account and key in the deposit amount RM750. Under the Payment Made, select your Payment Method and Pay From which Cash/Bank Account.

4. Next, record the purchase bill on 19th February 2023. Go to Purchases > Bill > +New to record the bill from Azlan Restaurants.

5. Next, apply the deposit. Go to Purchases > Payment > +New.

6. Enter the following details below:

Contact - Azlan Restaurants

Date - 19/02/2023 (Same with the bill date)

Pay From - Deposit Paid (To reverse back the journal).

Apply Amount - RM750. (Deposit amount)

7. Click on save and you are all done.