Pay Ledger Entries

When applying customer or vendor payments to ledger entries, the MEM functionality affects which entries you can see and apply.

Customer Ledger Entries

The Customer Ledger Entries list shows only the entries that belong to entities to which you have access. Select the lines you want to process, and then select Process > Apply Entries. The entries for the selected customer are available on the Apply Customer Entries page.

For more information on applying payments to customer ledger entries, see the Microsoft Dynamics 365 Business Central documentation: 

• Reconcile Customer Payments with the Cash Receipt Journal or from Customer Ledger Entries
• Cash Receipt Journals

Vendor Ledger Entries

The Vendor Ledger Entries list shows only the entries that belong to entities to which you have access. Select the lines you want to process, and then select Process > Apply Entries. The entries for the selected vendor are available on the Apply Vendor Entries page.

For more information on applying payments to customer ledger entries, see the Microsoft Dynamics 365 Business Central documentation: 

• Setting Up Purchasing

Apply, Unapply, or Reverse Vendor Ledger Entries

Centralized and decentralized processing can be used for the following Process actions:

• Apply Entries
• Unapply Entries
• Reverse Transactions

For more information on applying payments to customer ledger entries, see the Microsoft Dynamics 365 Business Central documentation: 

• Reconcile Vendor Payments with the Payment Journal or from Vendor Ledger Entries

The option to use centralized or decentralized processing is on the Purchase & Payables FastTab of the Multi-Entity Management Setup.

Note: If you are using Centralize/Decentralized AP on the Fly, then the Decentralized value is determined by the payment processing method specified in the journal batch.

Centralize Processing (Apply Entries)

When using centralized processing for applying entries, follow the steps in the Microsoft Dynamics 365 Business Central documentation and incorporate the following:

1. In the Vendor Ledger Entries select a line, and then select Process > Apply Entries.
   On the Apply Entries dialog, all documents that can be applied for the selected vendor appear in the list.
2. Select one or more documents to process.
   Due from and Due To entries are created as needed.
   Discounts are applied to the payment entity using the standard Microsoft Dynamics 365 Business Central functionality.

Centralize Processing (Unapply Entries and Reverse Transactions)

When entries are unapplied (Process > Unapply Entries), any Due From and Due To entries and discounts are reversed.

When using the reverse action (Process > Reverse Transaction), only transactions posted from journals are reversed, for example payments and posted applications.

Decentralize Processing (Apply/Unapply/Reverse)

Apply Entries: When using decentralized processing for applying entries, only documents that belong to the same entity as the vendor ledger line appear on the Apply Entries dialog. When the documents are processed, no Due from and Due To entries are created. Discounts are applied to the payment entity using the standard Microsoft Dynamics 365 Business Central functionality.

Unapply Entries: Entries are unapplied based on the standard Microsoft Dynamics 365 Business Central functionality.

Reverse Transactions: Transactions are reversed based on the standard Microsoft Dynamics 365 Business Central functionality.

Remittance Advice

You can send remittance advice to notify vendors of payments made. Sending remittance advice is a standard part of Microsoft Dynamics 365 Business Central. For more information see: Send Remittance Advice.

With MEM, you can view entity information when you use the Send Remittance Advice or Print Remittance Advice actions. For vendor ledger entries, you can generate a report, MEM Remittance Advice – Entries by Entity which displays remittance advice per entity. Each page of the report displays a separate paying entity and its relevant entries.

There are two remittance reports with entity information which you can create:

• MEM Remittance Advice – Entries by Entity
  • Use this report by processing invoices using the Vendor Ledger Entries page.
  • Before you can use the Send Remittance Advice action, you must have at least one payment journal line to use.
• MEM Remittance Advice - Journal by Entity
  • Use this report by processing invoices using the Payment Journals page.
• MEM Export Electronic Payments
  • Use this report by processing invoices using the Payment Journals page.

Remittance Advice Report Layouts

When you create a remittance advice report you can select any of the following layouts to display the entity information in the report.

Remittance reports and layouts with entity information

Report ID	Report Caption	Report Layouts	Report Notes
NA Remittance reports
70210892	MEM Export Electronic Payments MEM Export Electronic Payments - Entity Information	MEMExportElecPayments.rdl MEMExportElecPaymentsEntity.rdl MEMExportElecPayments.docx MEMExportElecPaymentsEntity.docx	This report displays the entity code, entity name, and the full legal name of the entity. Use this report when you generate remittance from the Payment Journal page. If you use the non-entity report layout you can still add MEM fields, such as the paying entity address or applied document entity name to the layout manually.
Remittance reports for all regions
70211186	MEM Remittance Advice – Entries MEM Remittance Advice – Entries with Entity Information	BssiMEMRemittanceAdviceEntries.rdl BssiMEMRemittanceAdviceEntriesEntityInformation.rdl	This report displays the entity code, entity name, and the full legal name of the entity. Use this report when you generate remittance from the Vendor Ledger Entries page. If you use the non-entity report layout you can still add MEM fields, such as the paying entity address or applied document entity name to the layout manually.
70211187	MEM Remittance Advice – Journals MEM Remittance Advice – Journals with Entity Information	BssiMEMRemittanceAdviceJournal.rdl BssiMEMRemittanceAdviceJournalEntityInformation.rdl	This report displays the entity code, entity name, and the full legal name of the entity. Use this report when you generate remittance from the Payment Journal page. If you use the non-entity report layout you can still add MEM fields, such as the paying entity address or applied document entity name to the layout manually.

Generate Remittance Advice Reports

To generate the MEM Remittance Advice – Entries by Entity report, do the following:

1. Search for and open the Report Selection - Purchase page.
2. Under Usage, select Vendor Remittance - Posted Entries.
3. On the Report Selection - Purchase table, create a new line, and select the MEM Remittance Advice – Entries by Entity report.
   1. The report ID is 70211186.
4. Save your selection in the Report Selection - Purchase page.
5. Then, search for and open the Vendor Ledger Entries page.
6. Select the entries to use in the report.
7. On the Action tab, select Actions > Functions > Send Remittance Advice.
8. The Send Document to dialog opens in which you can select how to generate the report. For example, you can print the report or create a PDF version of the report.
9. Select OK to generate the report.

Fields

The Vendor Ledger Entries list contains the following fields: 

Field	Description
Entity Code	Displays the entity for the line.
Decentralized	When you open the Apply Vendor Entries page from a journal, Decentralized displays the type of payment processing method used by the batch and only visible if you have turned on Centralized/Decentralized AP on the Fly in your Multi-Entity Management Setup. Decentralized is locked and cannot be changed in this page. Its value is determined by how you set up your journal batch. If turned on in your MEM Setup, Decentralized is available for all vendor ledger entries. For example, if you use the Apply Entries action in your sales journal, then Decentralized displays the payment processing method for that sales journal. When you open the Apply Vendor Entries page from the Vendor Ledger Entries page, Decentralized displays the type of payment processing method and you can turn it on or off. The default setting is set by the Decentralized switch in your Purchases & Payables in your MEMSetup. On: Decentralized payment processing method is used. Off: Centralized payment processing method is used. For more information about batch settings, see Using Centralized/Decentralized Processing on the Fly.

Actions

The Vendor Ledger Entries list contains the following action: 

Field	Description
Process > MEM Create Payment	Opens the MEM Create Payment dialog, where you specify the parameters for creating a vendor payment.

MEM Create Payment

Creating payments is standard Microsoft Dynamics 365 Business Central functionality. For more information, see Making Payments .

Use this MEM version of the dialog to process centralized or decentralized payments. The option to use centralized or decentralized processing is on the Purchase & Payables FastTab of the Multi-Entity Management Setup.

Centralized Processing (Create Payment)

When using centralized processing for creating payments, follow the steps in the Microsoft Dynamics 365 Business Central documentation and incorporate the following:

1. In the Vendor Ledger Entries select one or more lines, and then select Process > MEM Create Payment.
2. On the MEM Create Payment dialog, select the Entity Code and the Bank Account.
3. Check that Decentralized is turned off.
   This option is set on the Purchase & Payables FastTab on the Multi-Entity Management Setup.
4. Select OK.
   Only invoice lines are processed and appear on the Payment Journals.
   • The header entity is from the MEM Create Payment dialog.
   • The line entity is from the invoice of the line.
   • The balancing account for the line is from the MEM Create Payment.
   • Invoices are applied to each line.
5. The payment journals can be processed and Due From and Due To entries are created based on the entities specified for the header, line, and Bank. For more information, see Control Account for Due To/Due From Entries.
   Discounts are applied to the payment entity using the standard Microsoft Dynamics 365 Business Central functionality.

Decentralized Processing (Create Payment)

When using decentralized processing for creating payments, follow the steps in the Microsoft Dynamics 365 Business Central documentation and incorporate the following:

1. In the Vendor Ledger Entries select on or more lines that have the same entity, and then select Process > MEM Create Payment.
2. On the MEM Create Payment dialog: 
   1. The Entity Code selected must be the same as the selected vendor ledger lines.
   2. The Bank Account selected must belong to the selected entity.
   3. Check that Decentralized is turned on.
      This option is set on the Purchase & Payables FastTab on the Multi-Entity Management Setup.
3. Select OK.
   Only invoice lines are processed and appear on the Payment Journals.
   1. The header entity is from the MEM Create Payment dialog.
   2. The line entity is the same as the header.
   3. The balancing account for the line is from theMEM Entity Setup. (Bank Account No. field on the Payments FastTab)
   4. Invoices are applied to each line.
4. The entity for the header, line, and Bank are the same, and the payment journals can be processed for the entity. For more information, see Control Account for Due To/Due From Entries.
   Discounts are applied to the payment entity using the standard Microsoft Dynamics 365 Business Central functionality.

Fields

The dialog list contains the following fields: 

Field	Description
Decentralized	Determines whether the entity selected in the header is used as the payment entity for all lines or whether each line entity creates a payment for itself and processes only the transactions in self-contained batches. On: Separate payment entities are used and separate batches are created for each entity. The bank account used is the default bank account for each entity. Off: The entity in the header is used as the payment entity and one batch is created for all entities. The bank account used is the specific bank account selected on the dialog. The value is from the Purchase & Payables FastTab on the Multi-Entity Management Setup, and cannot be changed.
Entity Code	Select the entity for the transactions. The default value is your default entity. The default entity for the line is automatically updated with the entity value of the selected the customer, vendor, account, or item record. If needed, you can change it any entity to which you have access. When you select the entity, only the transactions in the batch that belong to the entity appear in the list. If the entity is empty, only transactions that do not have an entity appear in the list.

See also

Centralize/Decentralize: Processing