How to handle Agent Reconciliation Use Aged A/P and Aged A/R reports to determine whether you owe agent or agent owes you. If agent owes you: (AR greater than AP) 1 - Use Multiple Hand Check Selection to select the payables for agent. Use a wash account (I recommend a separate account called A/P-A/R Adjustments) as the bank account. I recommend a sequential check number and the date the cash was received as the check date. 2 - Use Cash Receipts to clear the receivables. Enter the cash actually received from the agent in the cash field and the appropriate bank where the cash is deposited. Use the wash account from step 1 above and the total of the check from step 1 as the discount account and amount. Clear all receivables. The wash account should be in balance. If you owe agent: (AP greater than AR) 1 - Use Cash Receipts to write off receivables to a wash acct. Put the wash acct number in the discount acct field and the full amount to be written off in the discount amount field. The bank cash number should be the regular cash account for report purposes but the cash amount should be zero. 2 - Create a negative payable to the agent for the adjusted receivable amount from step 1 above. The voucher expense account must be the wash acct number. 3 - Select for disbursement all payables including the negative one created in step 2. The check amount will be the net due agent. The wash account should be in balance.