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NOTE: General Ledger accounting transactions are generated during the payment application process but unless your GL is setup with Unapplied Cash and Applied Cash accounts - I'm not sure that there will be any true accounting impact. In the Sales Order process the accounting transaction generated the following GL Accounting transaction is generated for 'Payment Applied'

What is it used for?

This is used to link payments to invoices. It is also used to allocate which part of a payment is allocated or applied to a specific invoice. This is extremely useful if your customers pay multiple invoices with a single payment.

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