Example: Multi-Site Payment Posting

Three sites exist for Entity XYZ. Site A is designated as the centralized collection site where all customer payments are collected. If Site A receives a $300 payment from a customer to pay 3 invoices, each from a different site, these journal entries must occur:

• Invoice customer - $100 from each entity.

  	Debit	Credit
  Site A transactions:
  A/R	$100
  Sales		$100

  	Debit	Credit
  Site B transactions:
  A/R	$100
  Sales		$100

  	Debit	Credit
  Site C transactions:
  A/R	$100
  Sales		$100

• Post payment of $300 - distribute $100 to each entity.

  	Debit	Credit
  Site A Transactions:
  Cash	$300
  A/R		$100
  Inter-Site Liab (Entity B)		$100
  InterEntity Liab (Entity C)		$100

  	Debit	Credit
  Site B transactions:
  InterEntity Asset	$100
  A/R		$100

  	Debit	Credit
  Site C transactions:
  InterEntity Asset	$100
  A/R		$100