Examples: Using A/R Quick Payment Application

Scenario 1

You enter a payment for $150, and select three $50 invoices in the grid against which to apply the payment.

The grid shows:

Customer	Type	Invoice	Site	Order	Invoice Date	Due Date	Amt To Apply
1	I	101	01	C000001	05/15/15	06/15/15	50.00
1	I	150	01	C000007	06/15/15	07/15/15	50.00
1	I	156	01	C000010	06/22/15	07/22/15	50.00

When you select Apply, the system creates three distribution records for each one of these invoices.

Scenario 2

You enter a payment, and do not select any transactions in the grid.

You enter a payment for $100 on the A/R Quick Payment Application form with a payment date of 06/15/02, and save it. Then, you select Apply. A payment distribution is created as an Open credit for $100.

The grid shows:

Customer	Type	Invoice	Site	Order	Delivery Order	Chk/Ref	Invoice Date	Due Date	Amt To Apply	Discount
1	P	Open	01				06/15/15	06/15/15	50.00	0.00

Scenario 3

You enter a payment, select an invoice, and some payment amount is left to be applied.

You enter a payment for $100 on the A/R Quick Payment Application form, and save it. Then you select an invoice for $60, and click Apply. Two payment distributions are created, one as an invoice for $60, and the other as an open credit for $40. Both the invoice and the open credit display as selected in the grid.

Customer	Type	Invoice	Site	Order	Delivery Order	Chk/Ref	Invoice Date	Due Date	Amt To Apply	Discount
1	C	Open	01				06/15/15	06/15/15	40.00	0.00
1	I	102	01	C000001			05/15/15	06/15/15	60.00	0.00

Scenario 4

You enter a payment for $0, and select an invoice and an open credit.

Customer	Type	Invoice	Site	Order	Delivery Order	Chk/Ref	Invoice Date	Due Date	Amt To Apply	Discount
1	C	Open	01	C000001			06/15/15	06/15/15	50.00	0.00
1	I	101	01	C000001			05/15/15	06/15/15	50.00	0.00

The open credit is automatically when you click Apply. The invoice number in the A/R Transaction table (artran) now shows 101. The A/R account in the original artran record for the open credit is 11000. The A/R account in the parameters is 11000. The journal entries created will be:

Journal Seq	Date/Account Description	Acount	Amount	Ref/Currency	Exchange Rate
29 *	06/15/15	11000	50.00	ARPR	1
	Accounts Receivable		50.00	USD	1.000
30 *	06/15/15	11000	50.00	ARPR	1
	Accounts Receivable		50.00	USD	1.000

Scenario 5

You enter a payment for $50, and select multiple invoices, open payments, and credits: two invoices, 101 with a due date of 06/15/02 and 150 with a due date of 07/15/02 for $50 each; and the open credit has a due date of 06/15/02. The payment is for $50 on 07/20/02.

When you click Apply, the open credit of $50 is applied to invoice 101 and then posted. A/R Posted Transactions will show the credit with an invoice number of 101. The new payment of $50 is applied to invoice 150, and a payment distribution is created.

The grid shows the following:

Customer	Type	Invoice	Site	Order	Delivery Order	Chk/Ref	Invoice Date	Due Date	Amt To Apply	Discount
1	I	150	01	C000007			06/15/15	07/15/15	50.00	0.00

Scenario 6

You enter a payment, and select a Finance Charge transaction.

Three finance charges exist in posted transactions: one for $20 with a due date of 05/15/02, one for $20 with a due date of 06/15/02, and one for $20 with a due date of 07/15/02.

You enter a payment for $40. The finance charges display in the grid as follows:

Customer	Type	Invoice	Site	Order	Delivery Order	Chk/Ref	Invoice Date	Due Date	Amt To Apply	Discount
1	F	Fin chg	01				05/15/15	05/15/15	60.00	0.00

You must update the Amt To Apply (in the grid) to $40.00. When you click Apply, a distribution is created for the finance charge. Upon posting the payment, the amount will automatically be applied to the oldest finance charges.

Scenario 7

Reapplication of an Open payment/Open credit.

You enter an open payment/open credit to reapply for $1000. The grid shows an invoice selected for $1000. When you click Apply, a payment distribution is created. The A/R account in the original A/R transaction (artran) record for the open credit is 11000, and the A/R account in the original record for the open payment is 26000 (Deposit account). The open credit journal entries are the same as in scenario #4 above. When the open payment is applied, payment application occurs within the due date, so a discount for $50 is automatically created by the system in the Discount column.

When the payments are posted, the open payment entries are:

Journal Seq	Date/Account Description	Account	Amount	Ref/Currency	Customer/Exchange Rate
55 *	01/18/15	26000	1,000.00	ARPR	656
	AR Deposit		1,000.00	USD	1.000
56 *	01/18/15	40450	50.00	ARPR	656
	Sales Discount		50.00	USD	1.000
57 *	01/18/15	11000	1,050.00	ARPR	656
	Accounts Receivable		1,050.00	USD	1.000

Scenario 8

Reapply an Open payment to an invoice from another site.

An invoice is selected from Site 2. The open payment was entered in Site 1, and is being applied in Site 1. When you click Apply, you are prompted to transfer cash. If you select Yes, journal entries in Site 2 will transfer the amount from Accounts Receivable to cash. In Site 1, the amount will be transferred from the deposit account to cash. The entries appear:

Site 2:

Journal Seq	Date/Account Description	Account	Amount	Ref/Currency	Customer/Exchange Rate
32 *	01/17/15	11000	100.00	ARPR	25
	Accounts Receivable		100.00	USD	1.000
33 *	01/17/15	10000	100.00	ARPR	25
	Cash		100.00	USD	1.000

Site 1:

Journal Seq	Date/Account Description	Account	Amount	Ref/Currency	Customer/Exchange Rate
43 *	01/17/15	26000	100.00	ARPR	25
	AR Deposit		100.00	USD	1.000
44 *	01/17/15	10000	100.00	ARPR	25
	Cash		100.00	USD	1.000

If transfer cash is not selected, the A/R Inter-Site Liability and Asset accounts will be used instead of Cash. The entries are:

Site 2:

Journal Seq	Date/Account Description	Account	Amount	Ref/Currency	Customer/Exchange Rate
35 *	01/17/15	11000	100.00	ARPR	23
	Accounts Receivable		100.00	USD	1.000
36 *	01/17/15	49020	100.00	ARPR	23
	A/R Inter-Site Asset		100.00	USD	1.000

Site 1

Journal Seq	Date/Account Description	Account	Amount	Ref/Currency	Customer/Exchange Rate
47 *	01/17/15	26000	100.00	ARPR	23
	AR Deposit		100.00	USD	1.000
48 *	01/17/15	49000	100.00	ARPR	23
	A/R Inter-Site Liability		100.00	USD	1.000

Scenario 9

Reapply an open payment to an invoice with a different exchange rate. An open payment for $310 Canadian Dollars (CND) at an exchange rate of 1.55 is applied to an invoice with an exchange rate of 1.60. The following entries happen in the journal when the Apply button is selected:

Journal Seq	Date/Account Description	Account	Amount	Ref/Currency	Customer/Exchange Rate
66 *	01/14/15	26000	200.00	ARPR	5651
	AR Deposit		310.00	US$	1.550
67 *	3000	40200	7.03	ARX
	Currency Gains		10.90	CND	1.550
68 *	01/14/15	11000	7.03	ARX
	Accounts Receivable		10.90	CND	1.550
69 *	01/14/15	11000	200.00	ARPR	5651
	Accounts Receivable		310.00	CND	1.550

Scenario 10

You enter a payment for $95. You also enter a non-A/R cash distribution for $5.00 in A/R Payment Distributions. When you access the A/R Quick Payment Application form, the following transactions display:

Customer	Type	Invoice	Site	Chk/Ref	Invoice Date	Due Date	Amt To Apply	Discount
1	F	Fin chg	01	-1	05/15/15	05/15/02	100.00	0.00
	Non A/R	Non A/R	01		05/15/15			5.00
	Open Credit	Open	01	-1	05/15/15		20.00	0.00
1	I	100	01		05/15/15	06/15/02	10.00	0.00

When you click Apply, the $20 open credit is applied to the finance charge. It is automatically posted and shows on the A/R Posted Transactions form.

The $95.00 payment is then applied. Distributions for an $80 finance charge, $5.00 non-A/R cash, and $10.00 invoice will then be created. The non-A/R cash already exists in the distributions.