Applying AR Payments to Particular Lines: Process Activity

The following activity will walk you through the process of creating an AR invoice to be paid by line and partially paying some of its lines.

Story

Suppose that on 1/30/2025, the SweetLife Fruits & Jams company provided services to Allen's Bakery for $2,600. SweetLife wants the customer to pay $1,200 for consulting services first. The other invoice lines can be paid later. On 2/1/2025, Allen's Bakery partially paid the invoice in the amount of $1,200.

Acting as a SweetLife accountant, you need to create the AR invoice and enter a partial AR payment for one of its lines.

Configuration Overview

In the U100 dataset, the following tasks have been performed to support this activity:

• The following features have been enabled on the Enable/Disable Features (CS100000) form:
  • Standard Financials, which provides the standard financial functionality
  • Multibranch Support, which supports multiple branches in your instance of MYOB Acumatica
  • Multicompany Support, which supports multiple companies within one tenant
  • Payment Application by Line, which enables the functionality of paying specific lines of AR documents

On the Accounts Receivable Preferences (AR101000) form, the Hold Documents on Entry check box has been selected in the Data Entry Settings section.

On the Customers (AR303000) form, the ABAKERY (Allen's Bakery) customer has been configured. This customer has the CHECK payment method specified as the default one.

Process Overview

In this activity, you will first create an invoice with two lines on the Invoices and Memos (AR301000) form. The invoice will have the Pay by Line check box selected, indicating that payments can be applied to separate lines of the invoice. On the Payments and Applications (AR302000) form, you will pay one line of the invoice. Finally, you will review the original invoice on the Invoices and Memos form and its application to the payment on the Payments and Applications form.

System Preparation

Before you begin processing documents that are paid by line, do the following:

1. Launch the MYOB Acumatica website with the U100 dataset preloaded, and sign in as Anna Johnson by using the johnson username and the 123 password.
2. In the info area, in the upper-right corner of the top pane of the MYOB Acumatica screen, make sure that the business date in your system is set to 1/30/2025. If a different date is displayed, click the Business Date menu button and select 1/30/2025 on the calendar. For simplicity, in this activity, you will create and process all documents in the system on this business date.
3. On the Company and Branch Selection menu on the top pane of the MYOB Acumatica screen, select the SweetLife Head Office and Wholesale Center branch.

Step 1: Creating an AR Invoice

To create an AR invoice bill that can be paid by line, do the following:

1. On the Invoices and Memos (AR301000) form, add a new record.
2. In the Summary area, specify the following settings:
   • Type: Invoice
   • Customer: ABAKERY
   • Date: 1/30/2025 (inserted automatically)
   • Post Period: 01-2025
   • Pay by Line: Selected
   • Description: Consulting services
3. On the table toolbar of the Details tab, click Add Row; specify the following settings in the added row:
   • Branch: HEADOFFICE (inserted by default)
   • Line Nbr.: 1 (inserted automatically)
   • Inventory ID: CONSULT
   • Quantity: 2
   • Unit Price: 600
   • Ext. Price: 1,200 (calculated automatically)
   • Account: 40000 - Sales Revenue (inserted automatically)
4. Click Add Row again and specify the following settings for the second row:
   • Branch: HEADOFFICE (inserted by default)
   • Line Nbr.: 2 (inserted automatically)
   • Transaction Descr.: Cleaning and additional services
   • Ext. Price: 1400
   • Account: 40000 - Sales Revenue (inserted automatically)
5. On the form toolbar, click Save.
6. On the form toolbar, click Remove Hold and then click Release to release the invoice.

Step 2: Entering a Payment for One Line of the Invoice

To enter a payment for one line of the AR invoice, do the following:

1. On the Payments and Applications (AR302000) form, add a new record.
2. In the Summary area, specify the following settings:
   • Type: Payment
   • Customer: ABAKERY
   • Application Date: 2/1/2025
   • Application Period: 02-2025 (inserted automatically)
   • Payment Method: CHECK (inserted automatically)
   • Description: Consulting services
3. In the table on the Documents to Apply tab, select line 1 of the invoice that you created in Step 1. The line has an amount of $1,200.
4. In the Payment Amount box of the Summary area, enter 1200.
5. Click Save to save your changes.

   The other documents are removed from the Documents to Apply tab.

6. On the form toolbar, click Remove Hold and then click Release to release the payment.

   The system assigns the payment the Closed status. If the original invoice still has unpaid lines, it retains the Open status, and the Balance box in the Summary area of the Invoices and Memos (AR301000) form displays the balance still due from the customer.

Step 3: Reviewing the Original Invoice and Its Applications

To review the original invoice, which has been partially paid, do the following:

1. On the Invoices and Memos (AR301000) form, open the invoice that you created in Step 1.

   The invoice retains the Open status because it still has unpaid lines. The Balance box in the Summary area displays the balance still due from the customer ($1,400).

2. Go to the Applications tab.

   The payment that has been applied to one invoice line is listed on the tab.

3. Click the link in the Reference Nbr. column to open the payment on the Payments and Applications (AR302000) form.
4. On the Application History tab, notice that line 1 of the invoice has been applied to the payment.