The Floor Plan Management Tool provides you with two tabs to work with. One for generating a listing of floor plan units and the other for working with floor plan statements. This article deals with the Units tab.
Typical reasons for using this tab
Some of the common reasons for using the units tab are:
To process a statement you have received from a Flooring Company so that you can record any new interest that has accrued against your floor plan units
To review previously process statements from a Flooring Company
The Statements tab
In the statements tab you will find a chronological listing of all floor plan statements you have created.
For each statement listed you will be shown:
The date of the statement
the date of the previous statement for the flooring company
The name of the flooring company
The status of the statement (In progress or Finalized)
The number of units listed on the statement
The total interest that was due
The total amount of curtailment payments that were due
For each statement listed you can:
Click anywhere on the statement to view the contents of the statement
Click on the flooring company name to view the vendor page which opens in a new browser tab
Print or export the statement
Reopen the statement to make corrections - only available for the most recent statement listed for the flooring company
Delete the statement - only available for In progress statements
Creating a new statement
To create a new statement use the Create Statement button in the top right of the statements tab which will create a new "In progress" statement for a flooring company. You will not be allowed to create multiple "In progress" statements for the same flooring company.
Flooring Company - If you have multiple flooring companies defined you will be required to first select a flooring company otherwise this will be automatically populated
Statement Date - This is the date on which new interest costs will be calculated and posted against the units when the statement is finalized. The date selected by the user must be after the date in the Last statement element.
When the Last statement is populated with a date, this element will be auto populated with a date that is one month after the Last statement element.
If the user selects a date in this element and the Last statement value has not been populated or auto populated, then we will set the Last statement date to be one month prior to the selected Statement date.
Last Statement - This is populated with the “Last Floorplan statement” date from the flooring vendor record. If this has not been populated on the vendor record then the user will be required to select a date in this element.
Any date selected here must be prior to the date selected in the Statement date element.
Once all three values have been populated, selecting the "Create" button will generate and present you with a listing of floor plan units tied to the flooring company which meet the following conditions:
The unit is an inventory unit flagged as being a floor plan unit tied to the selected flooring company. On Order units are not included.
The date when the unit was stocked in is not after the Statement Date
The date when the unit was stocked out is not before the Last Statement date
When an accounting integration is enabled, the current balance owing on the unit invoice is not zero
You will then be presented with the floor plan statement containing a listing of all units that match the above criteria.
For each unit included in the statement we will show you:
Invoice - the invoice number of the vendor bill payable to the flooring company
Date - the date of that invoice
Due Date - the due date of that invoice
FO No. - the factory order number from when the unit was received
Stock Number - the stock number assigned to the unit in inventory
VIN / SN - the VIN or Serial Number of the unit
Status - the current status of the unit (Available, Reserved, Sold)
Floor Plan - the floor plan that has been assigned to the unit
Invoice Amount - the original total of the flooring company invoice
Balance - the current balance of the flooring company invoice
New Interest Due - the amount of interest due for the statement period
Curtailment Due - the amount of curtailment payment due for the unit
In the header of the statement you will be provide with the totals for all units on the statement.
Adding a missing unit to the statement
If a unit is not included in the generated listing of units and you need to have it included so that you can record new interest that is due on the unit, a Missing Unit action is provided in the header of the statement.
Which will provide you with a search screen which will allow you to search for and select the unit you want to add to the statement.
Adjusting the interest and curtailment due amounts
When the statement unit listing is first generated, the application will automatically calculate the interest and curtailment due amounts. How these values are automatically calculated is described below.
For rounding and other reasons you may need to adjust the amounts calculated by the application. The goal being that the values match exactly with the actual statement received from the flooring company.
How is Interest Due automatically calculated
A number of factors play a role in calculating Interest Due, the key factor being the floor plan assigned to the unit and its settings for Interest Rate and Interest Free Days (aka the free floor plan period).
The application first determines how many of the days in the statement period that the unit was interest bearing. Some units may not have come into stock until part way through the statement period or they could have been sold during the statement period. Also based on the floor plan terms assigned to a unit, it may be interest free for X number of days after the invoice date.
Then the Interest Due for the statement is calculated using this sample formula:
((Unit invoice current balance X Interest Rate) /365) X Statement Days Interest Bearing
How is Curtailment Due automatically calculated
A number of factors play a role in calculating Curtailment Due, the key factor being the floor plan assigned to the unit and its settings for Due Curtailments apply, the Curtailment Rate and the Days After Invoice value.
The application then determines the date when curtailments start being due to the flooring company to determine if they need to be included in the statement.
If its determined that Curtailments are due for the unit the percentage of the original invoice total that is due based on the Curtailment Rate is calculated. If this calculated amount is less than the balance owing on the invoice then the balance owing is set as the curtailment amount.
Recalculating the statement
If during the processing of a floor plan statement and you have manually modified some Interest/Curtailment Due amounts, an action is provide which when selected will cause the application to recalculate the New Interest Due and Curtailment Due amounts on all of the units listed in the statement.
Print or Export the statement
At any time you can generate an output of the units listed in the statement by actioning to either Print or Export the statement.
Searching for a unit on the statement
If you happen to be working with a statement that has a large number of units listed on it, you may have the need to find a particular unit in the listing. Instead of scrolling through the entire list to find the unit a search box is provided which allows you to filter the units listed.
Finalizing a Floor Plan statement
When you have balanced the floor plan statement to the actual statement you received from the flooring company you can then action to finalize the statement.
When you select this you will be asked to confirm your decision to finalize the statement. You are also notified that the application will not post any curtailment amounts to your accounting application as these are vendor payments you must make directly in the accounting application.
Finalizing a statement will record the New Interest Due amounts on each of the units listed in the statement.
It will also generate a vendor bill in the accounting application for the total amount of interest due from the statement.
This vendor bill will contain a line item for each unit that had an Interest Due amount. The actual resulting accounting entries for this vendor bill is dictated by the Floor Plan Setting for how you are applying interest against inventory units: Adding to the inventory valuation or Expensing it.
In a scenario where the floor plan interest is being accrued against the unit and that unit has already been sold, instead of the interest being applied to the unit inventory GL for the unit, it will instead be applied to the Cost of Goods Sold GL for the unit.