Types of AR Documents

In MYOB Acumatica, AR documents are differentiated by document types. Multiple document types help you track documents more easily and make your sales history with a customer clearer.

AR document types can be divided into two groups based on their method of creation:

  • Manual: Users create AR documents to record their financial relationship with customers. The following documents can be created by a user: Invoice, Debit Memo, Credit Memo, Payment, Prepayment, Refund, Cash Sale, and Cash Return.
  • Automatic: The system creates AR documents when a user has run the appropriate processes. The following documents are created by the system: Overdue Charge, Voided Payment, Credit WO, and Balance WO.
    Note:
    A user cannot create AR documents of these types manually.

In this topic, you will read about when and why each type of an AR document is used in MYOB Acumatica.

Invoice

You use this document type to record your request for payment for goods sold or services rendered to a customer. The system includes the sum of all open customer documents with the Invoice type in the customer balance, which is displayed in the Balance box on the Customers (AR303000) form. Thus, balances of open invoices increase the customer's balance.

You use the Invoices and Memos (AR301000) form to create and process a document of this type.

To identify invoices, the system uses the numbering sequence specified in the Invoice Numbering Sequence box on the General tab of the Accounts Receivable Preferences (AR101000) form.

Payment

You use this document type to record a customer payment for goods or services sold. Also, you can use this type to record a customer's prepayments, if you do not need to track prepayments separately. The system includes the sum of all open customer payment documents with the Payment type in the customer balance, which it displays in the Balance box on the Customers (AR303000) form. Thus, balances of open payments decrease the customer's balance. You can apply outstanding documents to a payment before or after you release it.

You use the Payments and Applications (AR302000) form to create and process a document of this type.

To identify payments, the system uses the numbering sequence specified in the Payment Numbering Sequence box on the General tab of the Accounts Receivable Preferences form.

Note:
If the Manual Numbering check box is selected for the specified numbering sequence on the Numbering Sequences (CS201010), the system validates each new reference number you enter in order to prevent the creation of payments and prepayments with the same reference number.

Prepayment

You use this document type if you want to distinguish customer payments from prepayments. The system displays the sum of all open customer payment documents with the Prepayment type separately in the Prepayments Balance box on the Customers (AR303000) form. Also, the balances of open prepayments decrease the customer's balance. You can apply outstanding documents to a prepayment before or after you release it.

Note:
The customer prepayment balance is displayed with a minus sign in the Prepayments Balance box on the Customers form.

You use the Payments and Applications (AR302000) form to create and process a document of this type.

To identify prepayments, the system uses the numbering sequence specified in the Payment Numbering Sequence box on the General tab of the Accounts Receivable Preferences (AR101000) form.

Note:
If the Manual Numbering check box is selected for the specified numbering sequence on the Numbering Sequences (CS201010), the system validates each new reference number you enter in order to prevent the creation of payments and prepayments with the same reference number.

Debit Memo and Credit Memo

You use these document types if you want to adjust the balances of the previously issued invoices or in other cases when corrections are needed. The system includes the sum of all open customer documents with these types in the customer balance for the customer, which is displayed in the Balance box on the Customers (AR303000) form. The balances of open debit memos increase the customer's balance, and the balances of open credit memos decrease customer's balance.

You use the Invoices and Memos (AR301000) form to create and process documents of these types.

To identify these documents, the system uses the numbering sequences specified in the Debit Memo Numbering Sequence and Credit Memo Numbering Sequence boxes, respectively, on the General tab of the Accounts Receivable Preferences form.

For details on the use of a debit memo and a credit memo, see AR Invoice Correction: General Information.

Cash Sale

You use this document type to record a quick sale—a sale for which the services rendered or goods sold are paid immediately by either cash or credit card. Cash sales do not affect the customer's balance.

You use the Cash Sales (AR304000) form to create and process a document of this type.

To identify cash sales, the system uses the numbering sequence specified in the Invoice Numbering Sequence box on the General tab of the Accounts Receivable Preferences (AR101000) form.

Cash Return

You use this document type to record a return of sold goods, which you refunded immediately by either cash or credit card refund. Also, the system creates a document of this type when you reverse a cash sale. Cash returns do not affect the customer's balance.

You use the Cash Sales (AR304000) form to create and process a document of this type.

To identify cash returns, the system uses the numbering sequence specified in the Invoice Numbering Sequence box on the General tab of the Accounts Receivable Preferences form.

Voided Payment

The system creates a document of this type when you void a payment document of the Payment, Prepayment, or Balance WO type that was erroneously recorded or is otherwise invalid. When you release a document of this type, the system reverses the original payment transactions. The system increases the customer's balance by the balance of voided payment. For step-by-step instructions, see To Void a Payment.

To identify documents of this type, the system uses the reference number of the voided payment document.

Overdue Charge

The system creates documents of this type when you run the process to collect overdue charges by using the Calculate Overdue Charges (AR507000) mass processing form. The system includes the sum of all open customer documents with the Overdue Charge type in the customer balance for the customer, which is displayed in the Balance box on the Customers (AR303000) form. Thus, balances of open charges increase the customer's balance. For details, see Overdue Charges: General Information.

To identify overdue charges, the system uses the numbering sequence specified in the Overdue Charge Numbering Sequence box on the General tab of the Accounts Receivable Preferences (AR101000) form.