Adjustment Type	Debit Account	Credit Account	Retainage Account Debit or Credit
Billed Credit	Revenue	AR*	Credit
Billed Debit	AR*	Revenue	Debit
AR Credit	Write-Off	AR*	Credit
AR Debit	AR*	Revenue	Debit
Bad Debt	Bad debt	AR*	Credit
Write-off	Write-off or Finance charge write-off	AR*	Credit
Customer Credit	Customer credit	AR	N/A
Customer Debit	AR	Customer charges	N/A
NSF (see note)	AR* or Customer Cash Receipts if unapplied	Cash	N/A
Refund (see note)	Customer Cash Receipts	Refund	N/A
Unapply Cash Receipt	AR (or Debit Account on Invoice)	Customer Cash Receipts
Apply Cash Receipt	Customer Cash Receipt Account	AR (Debit account from

* The account is retrieved from the distribution that you are adjusting. Normally the AR account is on the distribution.

Notes:

• To verify the default accounts, follow these steps:
  1. Select Company Settings, AR Settings.
  2. Click GL Settings and then click Balance Sheet Accounts or Misc Accounts or Revenue Accounts.
• The retainage account is affected only if you adjust the retainage amount.
• NSF adjustments debit the NSF bank charges account (File, Company Settings, AR Settings, GL Settings, Misc Accounts) if you enter an NSF bank charge when you adjust the cash receipt.
• Refunds do not reduce the cash account. Refer to the Accounts Receivable Help topic, "About Refunds" for more information.