How to: Apply Payments

When a customer sends a payment for one or more open ledger entries, it will be less than the full entry amount if a deduction is being claimed. The Payment Application window assists the user in creating and managing deductions, although it can be used for fully applied payments, too.

To apply payments

1. In the Search box, enter Cash Receipt Journals, and then choose the related link.
2. Select the relevant batch in the Batch Name field.
3. On the first journal line, enter the relevant information about the payment to be applied.
4. On the Actions tab, in the Functions group, choose Deduction Management. The Payment Application window appears.
5. Place a check mark in the Apply field for each ledger entry you want the payment to be applied to.

When you select a ledger entry for payment application, Microsoft Dynamics NAV automatically applies the full amount of the entry. This can be changed if you want to create a deduction. 6. In the Amount to Apply field for each line, change the amount if the customer does not want to apply payment to the full amount of the entry.

When the amount in the Amount to Apply is less than the full amount, the program automatically creates a deduction for the difference. The deduction is displayed in the area beneath the ledger entries. 7. Enter the action you wish to take against any deductions. 8. Close the Payment Application window. 9. Repeat steps 4-7 to apply payments to other cash receipt lines.