Troubleshooting AR30

• How do you process a Partial Payment?
  When an invoice is recalled for payment the program automatically defaults the Credit amount to the outstanding balance assuming that you intend to pay off the entire balance. If that is not true, simply enter the desired payment amount in the Credit box.

• How do you Post a Payment On Account (POA)?
  If payment is received and the invoice has not yet been posted to the customer's account or you do not know what invoices to apply the payment to, then create a POA to record the payment and reduce the customer's account balance. In folder 1, enter a reference number that begins with "P" + up to 6 more characters and then enter the payment amount in the Credit box. This will create a new open item under that reference number that will remain on the customer's account until you apply it to an invoice(s) using the Adjustment routine.

• How do you create a Debit Memo?
  If it is necessary to create a debit open item in the subledger, then in folder 1 enter a reference number that begins with "D" + up to 6 more characters and then enter the amount in the Debit box. The offsetting credit will either be the bank (possibly you are charging the customer for a bank charge) or will be posted to a user specified GL account in folder 4.

• How do you Post an NSF Cheque?
  The objective is to reverse the original payment and reinstate the invoice(s) that were paid. The Cheque number field will allow up to 7 alphanumeric characters; if desired you could enter the cheque number as NSF+cheque number. Enter the Cheque Amount as negative.

  If the invoice is still in the customer's account, reinstate the invoice balance by simply recalling it into folder 1 and debiting the invoice balance back. If the invoice has already been purged from the customer's account (by AR87) then create a debit memo. The net result in the GL will be a CR to the Bank and a DR to Accounts Receivable.

  If there are associated bank charges then you should choose the Adjustment option and create a new debit memo in folder 1 for the value of the bank charge (this will show up on the customer's next statement). Send the offsetting credit to a user-specified GL account in folder 4 (or you can enter a negative check amount, which will result in a Credit to the Bank).

• Adjustments - How do you write off an Invoice Balance?
  Choose Adjustment option. Notice that the top part of the screen will be disabled because this transaction has no impact on the bank. In folder 1 enter the customer code and the desired reference number. When an invoice is recalled the program automatically defaults the Credit amount to the outstanding balance assuming that you intend to write off the entire balance. If that is not true, simply enter the desired amount in the Credit box.

  Go to Folder 4 and enter the GL account for bad debts and the write-off amount in the Debit box.

• Adjustments - How do you apply Payment on Account (POA) or Credit Note to an Invoice?
  Choose Adjustment option. Notice that the top part of the screen will be disabled because this transaction has no impact on the bank. In folder 1 enter the customer code and the reference number for the POA or Credit Note. The program automatically defaults the Debit amount to the outstanding balance assuming that you intend to apply the entire balance. If that is not true, simply enter the desired amount in the Debit box.

  At this point you have reduced the balance of the POA or Credit Note; now you need to reduce the balance of the invoice. Enter the reference number for the invoice. The program automatically defaults the Credit amount to the outstanding balance assuming that you intend to clear off the entire balance of the invoice. If that is not true, simply enter the desired amount in the Debit box.

  If the credit pays off more than one invoice, then repeat the step above until you have fully applied the POA/credit note balance.

• How do you post a miscellaneous Cash Receipt (deposit that does not affect customer account)?
  Choose GL Trans option.

  Choose Misc. Payor from the drop-down list. Enter the payor name (this will print on AR31-Cash Receipts register and on AR33-Deposit Slip) and enter the Bank Code.

  Enter the Check Number and Check Amount; this constitutes a Debit to the Bank.

  Folder 4 will automatically open. Enter the GL account for distribution and the distribution amount in the Credit box.

• How do you distribute a single check between multiple Customer Accounts?
  If a single check pays off invoices in different customer accounts, enter code for the customer that sent the payment in the Payor field and enter the full amount of the payment in the Check Amount box. You will be sitting in folder 1 and the Customer Code will be defaulted to the Payor code; pay off whatever invoices are applicable for that customer. Then click on the Customer Code field again and enter the code for the next customer and pay off their invoices until you have applied the full amount of the check.

• How do you post a payment with Discount Taken?
  When a customer takes an early payment discount, the receipt amount will be less than the outstanding balance of the invoice. Enter the cheque amount, as received. Then recall the invoice being paid and Credit the balance. At this point the Credit to Accounts Receivable is greater than the Debit to the Bank; the balancing Debit goes to the Discount GL account.

  Go to Folder 4.

  Enter the GL account for Discount or choose GL Trans option and then choose Discount Acct from the drop-down list and the Discount Account will be automatically defaulted.

  Enter the discount amount in the Debit box to balance the entry.

• How do you pay Invoices with "Quick Pay Discount" Terms?
  If the terms of the invoice are flagged for "Quick Pay Discount" (see AR03), then the assumption is that the customer will always be taking the discount. When one of these invoices is recalled for payment, the invoice balance is fully credited and the Debit to Discount is automatically generated in Folder 4 even if the terms are expired.

  Note that when the GL distribution record for Discount (from the AR02 record set up for the bank assigned to the current Payor) is automatically generated then you are not allowed to recall it in Folder 4 for modification. Instead you must go back to Folder 1, recall the invoice and change the value in the Discount Taken box, which will in turn adjust the distribution amount in Folder 4. If the discount is being disallowed, then change the value in the Discount Taken box to zero.

• Deletions ?
  As checks are processed, the customer's account is updated and the details of the payment are written into the batch file that is subsequently reported by AR31.

  To delete an entire check, hit the Garbage Can; the invoice balances will be reinstated and the check removed from the batch file.

  To unpay an invoice, recall the invoice from the list box in Folder 1 and then hit the Delete button at the bottom of the screen.

  Caution: When posting adjustments, the Payor code and Cheque No. default to "*ADJST". If a group of adjustments are posted to multiple customer accounts, technically in the batch file they are all recorded against Payor/Cheque "*ADJST". If you delete using the Garbage Can, ALL of the adjustment postings in that batch will be deleted.

• I received a warning message stating that the Invoice entered is approaching the maximum number of 99 payments. What do I do if I need to make more than 99 payments?
  Enterprise only allows a maximum of 99 payments to be entered against an Invoice. When you enter the 97th payment against an Invoice, a warning message displays. You must take the following steps to transfer the balance of the Invoice to a new open item:
  • Using the Adjustment feature, adjust the balance of this Invoice to zero.
  • Create a new Debit Memo for the outstanding balance.

  You can then continue posting the remaining payments against the new Debit Memo.

• How do you refund a Customer?
  The Customer has an outstanding credit in the AR sub-ledger that you wish to clear by issuing an AP check. To clear off the outstanding AR credit, chose the Adjustment option in AR30. Notice that the top part of the screen will be disabled because this transaction has no impact on the Bank. In folder 1, enter the Customer code and the reference number for the Credit item; enter the amount to be refunded in the Debit box.
  • Go to folder 4 and enter a GL account (for a clearing or miscellaneous amount) and post the refund amount in the Credit box.

  • Then go to the AP system, set up the Customer as a Vendor. In AP30, post an Invoice for the refund amount and distribute the offsetting Debit to the same clearing/miscellaneous account used in AR30 above. Then pay the invoice with a computer or a manual check.
• How do you process customer payments made by Credit Card?
  If deposits made by credit card debit a different Bank GL account than the bank assigned to the customer in SU13, then some extra set up is required.
  • Example: Customer is assigned to Bank 1, which Debits GL account 01010, but pays their accounts by Visa, which Debits GL account 01020.

  • In AR02, set up Bank V - Visa Deposits and assign Bank GL account = 01020.

  • In SU13, set up a dummy customer 'VISA' and assign that customer to Bank V.

  • In AR30, enter customer 'VISA' in the Payor field and enter the payment amount in the Check Amount box; this will trigger a Debit to the Bank account 01020. You will be sitting in Folder 1 and the Customer Code will be defaulted to 'VISA'. Change that to the customer's account and pay off the applicable invoice(s); this will trigger a Credit to the A/R control account.