Letter of guarantee transaction

Note

We will not be accepting edits to this topic, because it is generated from a business process in Lifecycle Services.

This procedure walks through the Letter of guarantee process.

The following tasks must be complete before completing this procedure:

  • Set up bank facilities and posting profiles for a letter of guarantee.

  • Create a bank facility agreement for a letter of guarantee.

This procedure uses the USMF demo company.

Create Sales Order with Letter of Guarantee

  1. Go to Accounts receivable > Orders > All sales orders.
  2. Click New.
  3. In the Customer account field, enter or select a value.
  4. Expand the General section.
  5. In the Site field, enter or select a value.
  6. In the list, click the link in the selected row.
  7. In the Warehouse field, enter or select a value.
  8. In the list, click the link in the selected row.
  9. In the Bank document type field, select 'Letter of guarantee'.
  10. Click OK.
  11. In the Item number field, enter or select a value.
  12. In the Unit price field, enter a number.
  13. Expand the Line details section.
  14. Click the Delivery tab.
    • Note: Select Delivery date control = None
  15. In the Requested ship date field, enter a date.
  16. In the Confirmed ship date field, enter a date.

Process letter of guarantee_Request

  1. On the Action Pane, click Manage.
  2. Click Letter of guarantee.
  3. On the Action Pane, click Letter of guarantee.
  4. Click Request to open the drop dialog.
  5. In the Type field, enter or select a value.
  6. In the list, click the link in the selected row.
  7. In the Value field, enter a number.
  8. In the Expiration date field, enter a date and time.
  9. Click OK.
  10. Close the page.

Process letter of guarantee_Submit to bank

  1. Go to Cash and bank management > Letters of guarantee > Letters of guarantee.
  2. In the list, find and select the desired record.
  3. Click Submit to bank to open the drop dialog.
  4. In the Bank account field, enter or select a value.
  5. In the list, click the link in the selected row.
  6. Click OK.

Process letter of guarantee_Receive from bank

  1. Click Receive from bank to open the drop dialog.
  2. In the Bank number field, type a value.
    • Verify the values in the calculated Margin and Expense fields.
  3. Click OK.
  4. Expand the Actions section.
    • Verify the 'Receive from bank' record.
  5. Click to follow the link in the Journal batch number field.
  6. Click Lines.
    • Verify the posting of journal entries.
  7. Close the page.

Process letter of guarantee_Give to beneficiary

  1. Go to Accounts receivable > Orders > All sales orders.
  2. In the list, click the link in the selected row.
  3. On the Action Pane, click Manage.
  4. Click Letter of guarantee.
  5. On the Action Pane, click Letter of guarantee.
  6. Click Give to beneficiary to open the drop dialog.
  7. Click OK.
  8. Go to Cash and bank management > Letters of guarantee > Letters of guarantee.
  9. In the list, find and select the desired record.
  10. Click Give to beneficiary to open the drop dialog.
  11. Click OK.
  12. Expand the Actions section.
    • Validate the 'Give to beneficiary' record.

Process letter of guarantee_Increase value

  1. Go to Accounts receivable > Orders > All sales orders.
  2. In the list, click the link in the selected row.
  3. On the Action Pane, click Manage.
  4. Click Letter of guarantee.
  5. On the Action Pane, click Letter of guarantee.
  6. Click Increase value to open the drop dialog.
  7. In the Value to add field, enter a number.
  8. Click OK.
  9. Go to Cash and bank management > Letters of guarantee > Letters of guarantee.
  10. In the list, find and select the desired record.
  11. Click Increase value to open the drop dialog.
  12. Click OK.
  13. Expand the Actions section.
    • Verify the 'Increase value' record.
  14. In the list, find and select the desired record.
  15. Click to follow the link in the Journal batch number field.
  16. Click Lines.
    • Verify the posted journal entries.

Process letter of guarantee_Liquidate

  1. Go to Accounts receivable > Orders > All sales orders.
  2. In the list, click the link in the selected row.
  3. On the Action Pane, click Manage.
  4. Click Letter of guarantee.
  5. On the Action Pane, click Letter of guarantee.
  6. Click Liquidate to open the drop dialog.
  7. Click OK.
  8. Go to Cash and bank management > Letters of guarantee > Letters of guarantee.
  9. In the list, find and select the desired record.
  10. Click Liquidate to open the drop dialog.
  11. Click OK.
  12. Expand the Actions section.
    • Verify the 'Liquidate' record.
  13. In the list, find and select the desired record.
  14. Click to follow the link in the Journal batch number field.
  15. Click Lines.
    • Verify the posted journal entries.
  16. Close the page.