## Documentation Index

Access the complete documentation index at:
https://www.zoho.com/us/books/kb/llms.txt

Use this file to discover all available documentation pages before proceeding.

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# How do I apply a customer’s advance to a different customer’s invoice?

You cannot directly apply the customer advance of one customer to another customer’s invoice. However, you can follow these steps to record the transaction:

You must first create an account to record the customer advance. Here’s how:

*   Go to _Accountant_ on the left sidebar and select **Chart of Accounts**.
*   Click **\+ New Account**.
*   Enter the _Account Type_ as **Payment Clearing** and _Account Name_ as **Adjustment Account**.
*   Click **Save**.

Next, you must record the customer advance that you received as **Refunded** from the _Sales_ module. Here’s how:

*   Go to _Sales_ on the left sidebar and click **Payments Received**.
*   Select the advance payment that you want to apply to another customer’s invoice.
*   Click _More_ and select **Refund**.
*   Select the **Adjustment Account** _(Payment Clearing Account)_ in the _From Account_ field.

Here’s how to apply the customer advance amount to the Invoice:

*   Go to _Sales_ on the left sidebar and click **Invoices**.
*   Select the invoice associated with the other customer and click **Record Payment**.
*   Enter the necessary details.
*   Select the **Adjustment Account** _(Payment Clearing Account)_ in the _Deposit To_ field.
*   Click **Record Payment**.

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