Applying Debits to Credits
Purpose: Use this document as a reference for how to apply debits to credits (matching offsetting items to clear out your AR subledger) in ctcLink.
Audience: Accounts Receivable staff/supervisors
You must have at least one of these local college managed security roles:
- ZZ AR Item Entry
You must also set these User Preference Definitions:
If you need assistance with the above security roles or User Preference Definitions, please contact your local college supervisor or IT Admin to request role access.
In ctcLink Receivables, maintenance items can be credit or debit memos, invoices, adjustments, on-account payments, or prepayments. Maintenance features of Receivables enable you to offset debits and credits.
Consider these scenarios:
- Your college erroneously issued a credit memo earlier in the year. After the error was discovered, a debit memo was created to offset the credit memo.
- Your college received a customer over payment earlier in the year. After the error was discovered, the customer took the over payment as a credit on a subsequent payment.
In this topic, you will apply these memo items to each other, create accounting entries, and set them to post.
Applying Debits to Credits
Navigation: Accounts Receivable > Receivables Maintenance > Maintenance Worksheet > Create Maintenance Worksheet
- The Create Worksheet search page displays. Select the Add a New Value tab.
- Enter Worksheet Business Unit.
- Select the Add button.
- The Worksheet Selection page displays. Use it to specify customer and item information that should appear on the worksheet. You can specify:
- a customer criterion,
- a reference criterion,
- or a combination of customer and reference criteria.
- Use the Customer Criteria list to select the type of customer that you want to include in the worksheet.
- Enter Cust ID.
- Under the Worksheet Action section, select the Build button.
Using the Reference Criteria section, you can select a range of Item IDs and/or a single Customer ID as your search criterion. You can also select all items for a customer without narrowing your search to the selected item IDs. ctcLink uses criteria information to retrieve all items matching the selection criteria when the worksheet is built.
- The Worksheet Application page displays. Use it to match or settle open items. You are applying a debit memo to an erroneously issued credit memo. You will need to review the Item List section under Detail 1 tab to make the appropriate selections.
- Select Absolute Value Sort to cause offsetting debits and credits to be displayed in consecutive rows.
- Select the Sel option checkbox next to applicable debit.
- Select the Sel option checkbox next to applicable credit.
- Select the Save button.
- Select the Worksheet Action link.
The sum of all credits and debits must be zero for the worksheet to balance.
Use the Worksheet Action page to select a posting action for the worksheet or to create and review accounting entries. This page enables you to delete a worksheet, create accounting entries online for the worksheet, or delete accounting entries.
Optional to select Create/Review Entries button to review the Accounting Entries page. Use it to create accounting entries for one pending item at a time, review Accounting Entries for correctness, and/or adjust as needed. Select Save. Select Return to Previous Panel.
- The Worksheet Action page displays. Select Action = "Batch Standard" to be posted on the next AR Update process. Or select "Post Now" if you have the security access role to post to the GL.
- Select OK.
- Select Save.
- Section complete.
Video Tutorial
The video below demonstrates the process actions described in the steps listed above. There is no audio included with this video. Select the play button to start the video.
View Tutorial via Panopto
View the external link to Matching Items Using a Maintenance Worksheet. This link will open in a new tab/window.
The Items tab enables you to display an item list associated with the selected customer based on the item status. You can also set up one or more filters to narrow your search for items.
Use the Item List to view a breakdown of the total balance due based on each item. The Item List is identical the Item List component (Accounts Receivable, Customer Accounts, Item Information, Item List).
Depending on the Level value for the customer that you selected in the header (Corporate, Correspondence, No Relationship, or Remit From), if a customer hierarchy is associated with this customer, then the items purchased by the customer and all other customers defined at the same level or at a lower level in the hierarchy will appear in the Item List.
After you select items in the Item List grid for the customer, you can choose an item action, such as creating a maintenance worksheet, paying for an item by credit card, or generating a dunning letter.
When you select an Item Action, the system transfers you to the appropriate page to perform the action, such as the Maintenance Worksheet, and lists the items on that page.
Navigation: Accounts Receivable > Collections Workbench
- Enter Business Unit and Customer ID and/or additional criteria.
- Select the Search button.
- Under the Customer Details section, select the Items tab.
- To offset items using a Maintenance Worksheet, such as an Invoices Bill and Credit Bill:
- From the Item List section, select both invoices.
- From the Item Action section, use the drop down menu arrow to select Create a Maintenance Worksheet. For more information on offsetting items, please refer to QRG Managing Accounts Using a Maintenance Worksheet.
Video Tutorial
The video below demonstrates the process actions described in the steps listed above. There is no audio included with this video. Select the play button to start the video.
View Tutorial via Panopto
View the external link to Matching Items Using the Collections Workbench. This link will open in a new tab/window.
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