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I have a query and I'm sharing this with you all. Kindly give your valuable suggestions.
For a customer, there are 2 payment entries and 5 invoice entries in the customer ledger entries. I selected one payment entry and checked its 'Applied Entries'. In the applied entries screen, it has 6 records 1 payment, and 5 invoices.
Payment can be applied for another payment or Credit Memo??
It is not possible to apply one payment to another payment in a 1:1 application scenario. But it is possible to apply one payment to several other documents and those other documents can also be a payment. So it is possible to apply one payment to e.g. an invoice and a payment.
When working with payment discount and tolerances, a payment for invoices (or a refund for credit memos) always has to be the applying entry. Only with this constellation the discounts and tolerances are considered. When choosing an invoice as applying entry no discounts will be considered.
When a credit memo with payment discount is supposed to be applied, the applying entry needs to be a refund.
Hope this helps.
Thank you for the valuable information. I have learned many critical things from this. Thanks again!
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