In Order Entry Profile under System Options there is an option to allow credits on invoices. Can anyone explain to me what this means and how it works?

It allows you to sell negative quantities. Did you read the on-line help a ailanle by pressing F1 when you are in the screen? It might help.

I thought if you had disabled the option to allow inventory to fall below zero this would not worth.

My question really was whether there was a way (and I was hoping this option would have been the answer) of giving a credit for one item when an error is made on an invoice rather than voiding the entire invoice.

The invoice has been posted and the error discovered before it is sent to the customer.

Hello CPS,

Once an invoice has been posted, your are not allowed to make any changes to the accounting information on the invoice.

However, you can create a credit note from the invoice and delete all the lines that were correct from the credit note before posting it, thereby crediting back the single line in error with a minimum of data entry.

Happy New Year!

Hello CPS:

To clarify your first paragraph: If you "Allow credits on invoices", you can have a line on your invoice with a negative Quantity (i.e. you are selling -2 units). That is a different matter from allowing On Hand quantity for an item to drop below zero.