Before writing off a bad debt, create a Bad Debt expense account in your accounts list. For information about creating accounts, see Set up accounts.
|
1
|
|
2
|
|
3
|
|
4
|
In the Customer field, type or select the customer’s name.
|
|
5
|
In the Description field, type a description of the transaction.
|
|
6
|
In the Acct# field, type or select the account for Bad Debts.
|
|
7
|
If you account for bad debts by posting a provision to an asset account (for example, the Provision for Bad Debts asset account), you can type or select that account.
|
|
8
|
In the Amount field, type the bad debt amount as a negative number.
|
|
9
|
Click Record.
|
|
10
|
In the Settle Returns & Credits window, apply the credit against the original open invoice. For more information, see ‘Customer credits’.
|
