1. Advance Payment Settings


1.1 General Ledger Setup


Under the General Ledger Setup, the user can make the following mandatory settings on the Prepayment Fast tab.



Prepayment Type: Advance


Adv. VAT Prod. Posting Group:  The user must select the group related to the prepayment from the VAT Product Accounting Group.


1.2 Customer Posting Group



On the Customer Posting Group, the user has to set up the Advance Account from the Chart of Account.



1.3 Sales & Receivables Setup


Under the Sales & Receivables Setup on the Number Series fast tab, the user has to set up the No Series to the Advance Payment.


2. How to use the function


2.1 Make an Advance Letter from Sales Order


Create a New Sales Order. The user has to start to record in the normal way and to specify the percentage of the Prepayment on the Payment fast tab.



Than the prepayment related fields will be updated.


Under the Action- Prepayment- Creat Advance Letter button than the Business Central will redirect the Advance Letter.



After pressing the Create Advance Letter button, the user will see the following window where the user can print the letter by clicking on the Actions -  Print- Advance Letter.


2.2 Post the received amount


The user can post the Cash Receipt Journal the received amount. It is important to note that in this case of Customer Advance, the Payment field must be selected. Checking this box will automatically bring up the Payment type.



2.3 Create Advance Invoice


The payment has been posted. To issue the Advance invoice the user has to push the Process button after it the Release button.

Next step to apply for the payment with the Advance Latter Standing on the Advance Letter line the user has to press the Line button, then press the Link button. Then a new page will pop-up. On the page, the user has to push the Navigate button, then Link button, after the Set Ling-to ID than Set Link button.



It is visible that the Amount Linked and Amount To Invoice field has been filled.



Before the user would post the Advance Invoice the Posting date must be checked. Now the user can post the Advance invoice under the Action- Posting - Post Advance Invoice.

2.4 Creat final invoice

After the payment has been applied with the Advance Letter and the Advance Invoice has been created the user can post the final invoice.

The final invoice is issued from the Sales order where the advance payment process was initiated. In the Sales Order, the user presses the Post button to complete the final invoice.

2.5 Create Advance Credit Memo

One advance invoice can only be credited until the final invoice is issued. Starting from the Sales Advance Letter. Before the user would post the Advance Invoice the Posting date must be checked. The user has to push the Actions -  Posting -  Post Advance Credit Memo. 

One window will pop up then the user has to push the OK button and the CM will create.

After the credit has been posted, the amount will be transferred from the Amount to Invoiced to the Amount to Invoice.

 

2.6 Link two or more payment to one Advance letter

The user should follow the steps till the payment has been posted.

To link the payment to the Advance Letter it is necessary to do it in the same way as described above. So the user should firs lin the first line than the second.

After payment has been linked the Advance invoice can be posted.