Dynamics 365 Business Central
Category
Mar 25, 2024
Published date
Text
Article Type
AI Summary
- The article discusses the process of managing accounts receivable (AR) in Microsoft Dynamics 365 Business Central, which includes sending invoices to customers, tracking payments, following up with reminders or phone calls, and matching payments with invoices.
- The Cash Receipt Journal in Business Central allows users to manually post customer payments or vendor refunds and apply them to one or more open entries. However, bank account reconciliation cannot be done on this page.
- Users can create and post a Cash Receipt Journal by entering the posting date, selecting the customer, entering the payment received (as a negative number), and choosing the balancing account (usually a bank account).
- Payments can be applied to a single invoice by selecting the invoice type and number in the Cash Receipt Journal. The application is shown on the journal line and results in customer ledger entries and bank ledger entries.
- Payments can also be applied to multiple invoices by using the "Apply Entries" action in the Cash Receipt Journal. Users can select and apply the payment to multiple invoices, either in full or with a part payment.
- Business Central supports payment registrations, which is a simplified version of the cash receipt journal. Payment registrations allow users to mark each invoice as paid or enter the received amount for each invoice. However, they do not allow the application of payments to multiple invoices.
- The article also mentions the application of payments in different currencies. Business Central allows payment registrations in one currency to be applied to invoices in a different currency, but payments cannot be registered in the local currency for foreign bank accounts.
- Users can correct payment applications using the "Un-apply Entries" and "Apply Entries" functions in the Customer Ledger Entry table.
- The article also covers payment tolerance, rounding, and payment discounts in Business Central. Users can set up payment tolerance for rounding differences or underpaid invoices, and define payment discounts for early payments based on payment terms.
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