Accounts Receivable Steps

Accounts Receivable (A/R) is the process you use to invoice customers for services you rendered or goods you provided to them. You also use A/R to process customer payments and track discrepancies. A/R is closely linked to Customer Service, where you enter orders and track customer interaction.

These are the basic steps for A/R:

  1. Create an invoice, debit, or credit memo in A/R (Eliminate residual balances by generating debit or credit memos).
    Note: You should create most invoices through Customer Service. Use A/R to enter only those invoices, debit memos, and credit memos that do not result from the sale or return of inventory items.
  2. Distribute invoices.
  3. Post invoices, debits, and credit memos.
  4. Enter customer payments (Enter customer payments using Quick Payments).
  5. Distribute customer payments.
  6. Post payments.
  7. Run the A/R Aging Report.
  8. Generate and post finance charges.
  9. Rebalance customer balances.
  10. Close the year for Accounts Receivable.
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