Versions Compared

Key

  • This line was added.
  • This line was removed.
  • Formatting was changed.

In an Open Item accounts receivable system, each client's account consists of a number of unpaid invoices called Open Items. Each item or invoice has its own balance. Payments and adjustments are allocated to each selected invoice until the item is paid or adjusted to a zero balance. Invoices with a zero balance are, by definition, Closed.

Open Item accounting provides more details of how payments are allocated and it enable's you to select which invoices are paid.