In NAV you can enter a Balancing Account Type and Balancing Account Number against a Payment Method to automatically create a payment entry.
If a Payment Method has a Bal.Account Type and a Bal. Account No and this payment method is used on documents such as a Sales Orders, upon posting this document NAV will automatically create a payment entry and apply it to the posted document. (In this instance the Posted Invoice).
This functionality is ideal to use when customers pay in full at the time of the sale.
If you’re using the RoleTailored Client, go to Departments > Administration> Application Setup > Financial Management > Finance > Lists >Payment Methods.
In the Classic Client, you can find the Payment Methods form in Administration> Application Setup > Financial Management > Payment Methods.
NB. The Payment Methods in application setup are used for both Customers and Vendors.