There are various approaches to an accounts receivable application.The approach in which a customer's remittances are applied against a customer's total outstanding balance is called
A) aging schedule processing.
B) balance-forward processing.
C) open-item processing.
D) None of these answers is correct.

Question

Quizplus · Accepted Answer

Balance-forward processing is the method where customer payments are applied against the total outstanding balance rather than against specific invoices.

There Are Various Approaches to an Accounts Receivable Application