AR Receipt Accounting Entries

AR Receipt Accounting entries , starting from prepayment in OM

No Remittance, Direct clearing (Eg:Cash):
-----------------------------------------------------

When Order is booked

Cash a/c------------------DR
To Prepayment a/c---------CR

After shipping and invoice

Prepayment a/c ----------DR
To Receivable a/c -------CR



No Remittance, clearing by match (Eg:Check)
-------------------------------------------

When Order is booked

Remitted Cash a/c-----------DR
To Prepayment a/c-----------CR


After shipping and invoice


Prepayment a/c ----------DR
To Receivables a/c ------CR

After clearing

Cash a/c-----------------------DR
To Remitted Cash --------------CR

Standard remittance, Clearing by match (Eg:Credit Card)
-------------------------------------------------------

When Order is booked

Confirmed Cash a/c --------DR
To Prepayment a/c --------CR


After shipping and invoice

Prepayment a/c ---------------------DR
To Receivables a/c -----------------CR


After remittance

Remitted Cash ----------------DR
To Confirmed Cash a/c --------CR

After clearing

Cash a/c ------------------------DR
To Remitted Cash ----------------CR