Hello

What are best practices for handling a situation, wherein you prepay a 
vendor a certain amount, and only after that do you generate vendor 
invoices to draw against that amount?

Is it sufficient to do a cash -> payment on no invoices--will that get me 
a credit limit for that vendor or some such?

What I had planned to do, was to create an asset account, and transfer 
the $1,000.00 from checking to the asset account under that vendor's 
name, and then pay APs out of that asset account.
Similar to how I might do it for an investment brokerage account.

Just thought there might be an alternative method.

Detailed version:

My company pays Vendor X $1,000.00.

Throughout the next year, when I need to buy something from them, I 
generate an AP or VI for the necessary amount.

However, I have already paid them.
I won't pay them again until those funds near depletion.

(Ledgersmb 1.2.18)

Luke

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