WHAT IS ON ACCOUNT RECEIPT ACCOUNT IN AR ?

[mstapps]

PLS

WHAT IS ON-ACCOUNT RECEIPT ACCOUNT , UNAPPLIED RECEIPT ACCOUNT, AND UNIDENTIFIED RECEIPT ACCOUNT IN AR

PLS EXPLAINE ME WHAT IS DIFF BITWEEN THIS

ADVANCE THANKS
MST

[nagaramesh]

Hi,

1)As and u enter the Receipt without any customer details, Then the receipt status is " Un Identifed" that means Receipt did not identify any customer in that case Accounting entry is as follows:

Dr. Confirmation
Cr. Unidentified

2)Second stage: Customer has been identified but receipt amount is not applied against any particuler Invoice of that customer. i.e. Receivalbes is not identified, in such case accounting entry is as follows:

i)If u identify the customer before creating accouting then,

Dr. Confirmation
Cr. Unapplied

ii) if u create the accounting b4 identify the customer then accounting entry will be

(In step 1: Dr. Confirmation // Cr. Unidentified)

Dr. Un identified
Cr. Un applied

finally when u apply to any of outstanding Invoices then Unapplied will be knocked off by Receivables

Dr. Unapplied
Cr. Receivables


On Account Receipts:

we have received excess amount from the customer but there are no outstanding Invoices of that customer, in such case we can keep that amount in Onaccount balance and we can apply afterwards to the latest Invoice first.

Dr. Confirmation
Cr. Onaccount