SOLVED

FIFO formula for payments receivable

New Contributor

How to use the FIFO concept in maintaining the payments received from the customers. Let us assume that there are 4 line items for an invoice and the customer has made a partial payment. Now, I need to assign the partially paid amount, line item wise. For example, 4 line items in the invoice has the value of $500 each. The customer has paid $1,250. I have a column by the name "Amount Due" in which the first and second line items has to be marked $0. The third line item has to be $250 and the forth must be $500. Please refer to the attached sample image. Please help me. 

sample.PNG

5 Replies

@MrManikandanRaju In the attached is an example.  I used the following formula:

=MIN([@[Net Total]],
   MAX(0,
   SUMIFS(Table1[[#Headers],[Net Total]]:[@[Net Total]],Table1[[#Headers],[Customer]]:[@Customer],[@Customer])-SUMIFS([Payment Rec''d],[Customer],[@Customer])))

I formatted the data as a TABLE so I could use table references.

Line 1 just says use the min between this line's Net Total and the following calculation (i.e. max value for amount due on this line is the Net Total of this line)

Line 2 says use the max between 0 and the following calculation (i.e. don't use negative values)

Line 3 is where it takes the sum of all Net Total values from the header down to this line if the customer is this line's customer, and then subtract ALL payments by this customer.

 

 

Hi Matt. Thank you so much for the help. Appreciate it. In your example you have chosen the criteria as customer name. But I have to have the criteria as both invoice number and accounting year. I think it can be done within SUMIFS function. Please correct me if I am wrong. Let me also try it and let you know. Once again thanks!!
best response confirmed by MrManikandanRaju (New Contributor)
Solution

@MrManikandanRaju yes I already used SUMIFS so you just need to change the criteria and add another set like this:

=MIN([@[Net Total]],
   MAX(0,
   SUMIFS(Table1[[#Headers],[Net Total]]:[@[Net Total]],Table1[[#Headers],[Acc Yr]]:[@[Acc Yr]],[@[Acc Yr]],Table1[[#Headers],[Inv No]]:[@[Inv No]],[@[Inv No]])-SUMIFS([Payment Rec''d],[Acc Yr],[@[Acc Yr]],[Inv No],[@[Inv No]])))

@mtarler This works if the data is a table. Also works only when each line item's total is mentioned in Net Total column.

 

However it is not working when I group the net total by invoice. Why is it so?

I can convert my data into table. No big deal. But why the formula is not working when I group the net total by invoice?

 

Attaching sample workbook.

 

Please help. 

@MrManikandanRaju  I do recommend you try working with columns when possible but you can convert this formula into non-table references too.  As for an answer to your question about why it doesn't 'work' when you group the Net Totals is because the prior lines of Net Totals are 0 so If the Net Total they owe at/for that point/line is 0 then how could they own more on that line.  The formula could reference the Gross Total but then when would you take into account the tax and of course a formula (not this one) could be made to calculate the Net Total for the line based on the gross * tax but why?

fyi, here is a break down of line 3

 

 

=MIN([@[Net Total]],
   MAX(0,
   SUMIFS(Table1[[#Headers],[Net Total]]:[@[Net Total]],Table1[[#Headers],[Acc Yr]]:[@[Acc Yr]],[@[Acc Yr]],Table1[[#Headers],[Inv No]]:[@[Inv No]],[@[Inv No]])-SUMIFS([Payment Rec''d],[Acc Yr],[@[Acc Yr]],[Inv No],[@[Inv No]])))

 

line 3 is of the form SUMIFS( [sum Net Totals up to this line] ) - SUMIFS( [sum of all payments] )