I keep book for 5 companies. We have made an overpayment last year in 'A' company for 150. We paid 150 twice against an invoice. we dont do much business with this supplier. but now we have received an invoice from this supplier for Company 'B' for 300. So i am planning to set off the overpayment in A and pay 150 from company B.
Company A: purchase ledger:
put through a dummy invoice to hit company B i/co and then credit B i/co upon receipt from company B
Company B purchase ledger:
put through a credit note hitting A i/co and dr A i/co upon payment to Company A.
