Page 7 - Unanet AE: Introduction to Project Management

LESSON 1: A/R JOURNALS

Learning Objectives

Explain how to use A/R Journals.

• Describe the purpose of A/R configuration.
• Recall the Global Settings associated with A/R.
• Summarize how to create sales entries.
• Explain how to use credit memos.
• Describe how to perform an invoice write-off.
• Review the process for recording receipts.

Introduction

A/R journals, or Accounts Receivable journals, are accounting records that document all
transactions related to accounts receivable. These journals track the money owed to a
business by its customers for goods or services delivered on credit. Key entries in A/R
journals typically include:

• Invoice Issuance: Recording the amount billed to customers.
• Customer Payments: Recording payments received from customers against
outstanding invoices.
• Credit Memos: Recording reductions in receivables due to returns,
allowances, or discounts granted to customers.
• Adjustments: Recording any adjustments to receivables, such as write-offs for
bad debts or corrections of billing errors.
Maintaining accurate A/R journals is crucial for effective financial management, as they
provide detailed insights into the company's cash flow and the status of outstanding
customer payments.

A/R Configuration

A/R configuration involves setting up various parameters and settings related to how
accounts receivable transactions are managed within a company's financial system.
This configuration often includes defining payment terms, credit limits, customer master
data, invoice processing workflows, and integration with other financial modules or
systems. Configuring A/R effectively helps streamline the invoicing, billing, and
collection processes, ensuring accurate tracking and management of receivables.

LESSON 1: A/R JOURNALS ©2024 Unanet. All rights reserved. 7