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Receive payment for two customers paying with one check

 

Two different customers pay with a single check.

Example:
Customer A and Customer B are owned by the same parent company, and they pay the invoices for both Customer A and B with one check.
Customer A has an open invoice for $150, and Customer B has an open invoice for $100. The parent company writes one check for $250.
A check for $250 is received and applied to Customer A who now has a credit for $100, but Customer B still owes $100.

Detailed Instructions

 

Move the $100 credit from Customer A to Customer B with two Journal Entries, and then apply the Journal Entries to each customer.

Create the Journal Entries

  1. Select the Company menu and select Make General Journal Entries.
  2. For Journal Entry # 1:
    1. On the first line in the Account column select the Accounts Receivable (A/R) account used on each invoice.
    2. Enter a Debit for $100, a meaningful memo and, in the Name column, select Customer A.
    3. On the second line select a Wash account (ask your accountant which account to use).
    4. Enter a Credit for $100. This field should fill in automatically when the Wash account is selected.
    5. Click Save & New
  3. For Journal Entry # 2:
    1. On the first line in the Account column, select the Wash account and enter a Debit for $100.
    2. On the second line, select the A/R account used on each invoice and enter a Credit for $100. This field should fill in automatically when the A/R account is selected.
    3. Enter a meaningful memo and, in the Name column, select Customer B.
    4. Click Save & Close.

Receive Payments from Customer A and apply the Journal Entry to the $100 credit

  1. Select the Customers menu and select Receive Payments.
  2. Select Customer A and notice the journal entry amount due for $100.
  3. Click the Discounts and Credits button.
  4. On the Apply Credits window, notice the check mark next to the $100 credit.
  5. Click Done. This applies the $100 credit to the $100 journal entry debit.
  6. Click Save & New.

Receive Payments from Customer B and apply the Journal Entry to the $100 invoice

  1. Select the Customers menu, select Receive Payments.
  2. Select Customer B and click the Discounts and Credits button.
  3. On the Apply Credits window, notice the check mark next to the $100 credit.
  4. Click Done. This applies the $100 credit from the journal entry to the invoice.
  5. Click Save & Close

Both customers now have zero balances and the invoices are closed out.

KB ID# HOW12304
7/24/2014 9:57:18 AM
PPRDQSSWS402 9102 Pro 2013 c6f06f