Reconciling single cheque covering multiple payments

[Des Dougan]

Maf,

Thanks for your reply.

On Mon, 2004-11-08 at 09:56 +0000, Maf. King wrote:
> On Monday 08 Nov 2004 04:52, Des Dougan wrote:
> > I received a single cheque this week which covered two invoices. I
> > processed the cheque, and have matched it with my bank download.
> > However, the two invoices that the cheque relates to continue to
show as
> > not paid (unsurprisingly).
> >
> > How should I resolve this, and should I take a different approach if
> > this happens again?
> >
> > Thanks,
> >
> > Des
> 
> Hi Des,
> 
> I have that situation arise most months with one of my clients (well,
OK, 
> every second month *sigh*), and I haven't noticed the problem you
describe.
> 
> I assume that you are using the A/R system, and you did the usual
business -> 
> customers -> process payment routine?

I am using the A/R system (or, at least, trying to...). I think what I
did was enter the cheque into the register and when I did a bank account
file import (a QFX file), matched it against the paid-in cheque - so
that wouldn't, I guess, know anything about which invoices to map to.

I suspect that I don't do this frequently enough yet to have it off pat
in my head. So, is there a way to mark these invoices paid without
screwing up further? I'm assuming that if I do it with the cheque
already matched, processing these payments will throw my balance out. Is
that right? Should the correct process be 1. process payment; 2.
reconcile bank?

> AFAIK, payments posted are taken off the oldest outstanding invoice
for that 
> client and are then applied in date order. Have you had payments for
invoices 
> that were not in date order?  that may have screwed the ledger up a
bit?

I think, reading what you wrote, that I've confused the process, as
noted above. In this case, I don't think the date order is relevant, but
it's good to know this for future reference.

Many thanks,

Des
-- 

Des Dougan, Principal
Dougan Consulting Group

Ph: 604-980-2848       Email: des at DouganConsulting dot com     

        www.DouganConsulting.com

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