Issue -- Payment Netting error while Applying Receipt to another Receipt

Below payment Netting error gets raised while Applying Receipt to another Receipt

Analysis:

Clearing account need to be setup for seeded payment netting activity when offsetting one receipt with another receip

Steps:  Go to Functional Set Up manager (FSM)  -> Manage Receivables Activities -> Go to  "Payment netting" receivable activity

Load the setting and you will see "Activity GL Account"  which is a mandatory set up step, this needs to be populated to remove the error: "You must assign a general ledger account to the payment netting activity. (AR-856100)".

After addition of Payment Netting in above setup, receipt got successfully applied to another receipt. When we do that then the transfer balance from applied receipt get transferred to base receipt to which it got applied.