To apply credits to a Bill:
- Navigate to Purchase → Payment → Bill Payment.
- Select the Account ( default is Accounts Payable) and the Vendor and hit ‘Refresh’.
You can further filter your search using the funnel icon next to the ‘Refresh’ button.
- Click on the credit amount value on the vendor line.
- From the pop-up window, select the credits/prepayments you wish to apply and click on ‘Apply Credit’
- Finally, click ‘Pay Selected Bills’.
View the video below for a walkthrough of the above steps: