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Collection of an accounts receivable

Once you have made credit sales to customers, the next step in the sales cycle is to collect the receivable from the customer. There are two steps to this process: recording the receipt of money from the customer, and then recording that the money has been deposited in the bank. This topic covers the first step, showing you where and how to record the receipt from the customer in Peachtree. Instructions on how to perform the second step can be found in the Creating a new bank deposit page in the Banking section in this Learning Center.

Receive money from a customer

To record the receipt from a customer, open the Customers & Sales Navigation Center. Click on the Receive Money icon and select Receive Money from Customer from the drop down list provided. Alternatively, through the Banking Navigation Center you can also access the same Receive Money icon and select Receive Money from Customer from the drop down list provided.

Select Receive Money from Customer

This opens the Receipts window where you can enter the details of the receipt into Peachtree. The following screenshot and reference table show step-by-step instructions on how to enter the collection of a receivable from a customer into the Receipts window in Peachtree. Note that each step is assigned a reference number to help you identify the appropriate field or icon in the screenshot of the Receipts window.

The Receipts window with reference numbers

Collect accounts receivable
Step Peachtree
field or icon
1 Customer ID Select the name of the customer.
2 Address Peachtree automatically displays the address of the customer.
3 Apply to Invoices tab Notice that Peachtree automatically displays a list of the customer's outstanding invoices.
4 Reference Enter the reference number for the cash receipt. For example, if the customer paid by check, then the reference is the check number of the customer's check.
5 Receipt Number Enter the receipt number for the cash receipt.
6 Date Click the calendar icon to select the date of the receipt.
7 Payment Method Select the method of payment from the drop down list provided.
8 Cash Account If the business has more than one type of cash account, select the cash account into which the receipt of cash is entered.
9 Pay column If the customer has paid the full amount of the invoice, then click the Pay box for that invoice to enter a check mark in that column. Peachtree automatically fills in the Amount Paid column with the amount due for that invoice. Note that if the customer has more invoices than is displayed, Peachtree provides a scroll bar to scroll down to the invoice that you want to apply the payment to.
10 Amount Paid column If the customer only made a partial payment against a particular invoice, type in the amount of that payment in the Amount Paid column. Peachtree automatically places a check mark in the box in the Pay column for that invoice.
11 Receipt Amount Peachtree automatically calculates the total of the Amount Paid column and displays the amount received from the customer. This amount is also displayed in the title of the Apply to Invoices tab. You should check that this total is equal to the amount of the customer's check or other method of payment.
12 Save icon Once you have reviewed the information in the Receipts window, remember to click the Save icon to record the cash receipt, journalize the transaction and post it to the applicable accounts.
Puzzle icon

Helpful Hint!

When you open the Receipts window, Peachtree may automatically populate a date or a reference number into the Deposit Ticket ID field. If there is anything entered into the Deposit Ticket ID field Peachtree will automatically create a bank deposit ticket for that single cash receipt when the Receipts window is saved. If this field is left blank, no bank deposit ticket is created. If you are completing the Peachtree Practice Set, delete any entry that may be in this field. This is because you are instructed to record this cash receipt in a bank deposit ticket that is to be created later on.

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