Manufacturing · Epicor Prophet 21

How to Do Daily Cash Application in Epicor Prophet 21

Cash application is the daily job of taking every payment the bank received, working out which customer and which invoices it pays, and posting it in the ERP so receivables are accurate. In Epicor Prophet 21 that means keying cash receipts against one deposit and making sure the deposit ties to the bank.

Unapplied cash inflates past-due balances, triggers wrong credit holds and hides deductions until they are too old to dispute. This guide walks through the full routine shown in the recording: bank reports, remittance emails, the P21 Open Items Report, a reviewed match workbook, receipt posting, the deposit slip and the closing email to AR.

  • Who does itAccounts receivable specialist, with AR Supervisor approval before posting
  • How oftenDaily, every business day
  • Steps10 steps · 4 systems
  • By hand2–16 hours a day depending on transaction count

Watch the full workflow

every click in this recording is an AI agent — no one is touching the keyboard.

In the recording, an AI agent pulls the 09/28/2026 ACH Receipts (3 items, $21,605.00) and Lockbox 0472 (3 checks, $13,228.40) reports from the Northern Trust portal, parses four emails in the Remittances folder (skipping a credit application), and pulls the P21 Open Items Report. It builds a proposed cash application matching 6 payments with one exception, which an AR Supervisor approves. It then posts five cash receipts (208341–208345, $33,683.40) to deposit 10428 in Prophet 21, captures a posting confirmation, pulls the Deposit Slip Report and emails the AR team.

  1. 1:40Pull the ACH receipts report
  2. 1:55Pull the lockbox report
  3. 2:15Parse the remittance emails
  4. 3:05Run the P21 Open Items Report
  5. 3:25Match payments to open invoices
  6. 3:55AR supervisor approves the application
  7. 4:05Post cash receipts in P21
  8. 5:15Capture the posting confirmation
  9. 5:30Pull the deposit slip
  10. 6:40Email the AR reports

Systems involved

You need access to each of these before you start. In the recording the agent works in all of them from one desktop, signed in as the user.

  • Epicor Prophet 21Open Items Report, Cash Receipts entry and Deposit Slip Report
  • Northern Trust Treasury Reporting (bank portal)ACH Receipts Detail and Lockbox Detail reports for the value date
  • Mail (AR mailbox)Remittances folder with payment advices; outgoing daily summary to the AR team
  • Cash application workbook (Excel)Proposed application of each payment, reviewed and approved before posting

What you start with

  • Bank ACH Receipts Detail report
  • Bank Lockbox Detail report
  • Remittance emails (tables, PDF attachments, body text)
  • P21 Open Items Report

What you end with

  • Approved cash application workbook
  • Cash receipts posted in P21 against one deposit
  • Deposit slip PDF
  • AR cash receipts summary PDF
  • Posting confirmation screenshot
  • Summary email to the AR team, controller copied

The workflow at a glance

Action Decision Human review Select a step to jump to how it's done.

  1. 01 Action · Northern Trust portal Pull the ACH receipts report
  2. 02 Action · Northern Trust portal Pull the lockbox report
  3. 03 Decision · Mail Parse the remittance emails Yes Extract the invoice lines for matching. No Skip it and mark it 'not a remittance'.
  4. 04 Action · Prophet 21 – Open Items Report Run the P21 Open Items Report
  5. 05 Decision · Cash application workbook Match payments to open invoices Yes Exact or Discount within terms: ready to post (Partial is applied and the rest left open). No Exception: not posted, routed to AR for research.
  6. 06 · Human review · Cash application workbook AR supervisor approves the application
  7. 07 Action · Prophet 21 – Cash Receipts Post cash receipts in P21
  8. 08 Action · Prophet 21 Capture the posting confirmation
  9. 09 Action · Prophet 21 – Deposit Slip Report Pull the deposit slip
  10. 10 Action · Mail Email the AR reports

Step-by-step: how to do it

  1. Action · Northern Trust portal · 1:40 in the video

    Pull the ACH receipts report

    In the bank portal go to Receivables > ACH Receipts, pick the operating account and the value date, and run the report. Check that the status is final rather than intraday, then download the CSV or PDF for the day's file.

    In the video

    Operating ****4821, 09/28/2026.

    Items
    3
    Total credits
    $21,605.00
    Status
    Final as of 06:02 CT
    • Calloway Scientific
      Amount
      $12,480.00
    • Brightline Fab Inc
      Amount
      $6,125.00
    • Harbor Point Marine
      Amount
      $3,000.00

  2. Action · Northern Trust portal · 1:55 in the video

    Pull the lockbox report

    Go to Receivables > Lockbox, choose the lockbox and value date, run and download the detail. Note each check number, amount and any stub invoice references, and flag checks that arrived with no stub.

    In the video

    Lockbox 0472 – Chicago.

    Checks
    3
    Batch
    $13,228.40
    • Midland Hydraulics
      Check
      20931
      Amount
      $2,318.40
      Invoice
      1045240
    • Tri-County Electric
      Check
      58812
      Amount
      $9,760.00
      Invoices
      1045195, 1045263
    • R Delgado Services LLC No stub
      Check
      1147
      Amount
      $1,150.00

  3. Decision · Mail · 2:15 in the video

    Parse the remittance emails

    Open each message in the Remittances folder and pull customer, customer ID, invoice numbers, amounts and any discount from the email table, PDF attachment or body text. Anything that is not a payment advice is skipped, and the extraction is saved with the day's cash receipts files.

    • If yes Extract the invoice lines for matching.
    • If no Skip it and mark it 'not a remittance'.
    In the video
    • Calloway Scientific 100245
      Invoices
      1045210 $8,230.00 + 1045288 $4,250.00
    • Brightline Fabrication 100318
      Remittance
      PDF RA-66120
      Invoice
      1045301
      Discount
      125.00
      Amount
      $6,125.00
    • Harbor Point Marine 100402
      Amount
      $3,000.00 toward 1045177
    • New customer credit application – Pinecrest Builders Skipped

  4. Action · Prophet 21 – Open Items Report · 3:05 in the video

    Run the P21 Open Items Report

    Go to Accounting > Accounts Receivable > Open Items Report, choose the company and as-of date, and run report type Detail – Open Invoices. Note balances, terms and any terms discount still available.

    In the video
    As of
    09/28/2026
    Open invoices
    14 across 10 customers
    Report total
    65,909.50
    Terms available
    125.00 on Brightline 1045301 (2% 10 Net 30)

  5. Decision · Cash application workbook · 3:25 in the video

    Match payments to open invoices

    Line up each bank payment with its remittance and the open items, and give every line a status: Exact, Discount (taken within terms), Partial (balance stays open) or Exception. Write a short note on anything that is not exact.

    • If yes Exact or Discount within terms: ready to post (Partial is applied and the rest left open).
    • If no Exception: not posted, routed to AR for research.
    In the video

    Proposed application 09/28/2026.

    Payments
    6 · $34,833.40
    Ready to post
    5 · $33,683.40
    • Harbor Point 1045177 Partial
      Stays open
      2,412.80
    • Brightline Within terms
      Discount
      125.00
    • R Delgado chk 1147 Exception — no customer or open invoice match, route to AR

  6. Human review · Cash application workbook · 3:55 in the video

    AR supervisor approves the application

    The reviewer checks payments received, amounts ready to post, partials, discounts and exceptions, then approves or rejects. Nothing is keyed into P21 until the application is approved.

    In the video

    Review panel: 'Nothing is posted in Prophet 21 until an AR reviewer approves this cash application.' The AR Supervisor clicks Approve

  7. Action · Prophet 21 – Cash Receipts · 4:05 in the video

    Post cash receipts in P21

    For each approved payment enter bank, deposit number, receipt date, customer ID, payment type, check or reference number and amount. Tick the invoices being paid, enter terms taken where allowed, confirm the unapplied amount is zero and save. Repeat for every payment on the deposit.

    In the video

    Bank 1 – Northern Trust Operating ****4821, deposit 10428, 09/28/2026.

    Total
    5 receipts, $33,683.40
    • 208341 · Calloway 100245
      Method
      ACH
      Amount
      $12,480.00
    • 208342 · Brightline 100318
      Amount
      $6,125.00
      Terms
      125.00
    • 208343 · Harbor Point 100402
      Amount
      $3,000.00
    • 208344 · Midland 100127
      Check
      20931
      Amount
      $2,318.40
    • 208345 · Tri-County 100566
      Check
      58812
      Amount
      $9,760.00

  8. Action · Prophet 21 · 5:15 in the video

    Capture the posting confirmation

    Screenshot the posted-receipts grid so there is evidence of exactly what posted and when.

    In the video

    P21_Posting_Confirmation.png captured

  9. Action · Prophet 21 – Deposit Slip Report · 5:30 in the video

    Pull the deposit slip

    Open the Deposit Slip Report, enter the bank and deposit number, print preview and save the PDF. Tie the check and ACH subtotals back to the bank reports.

    In the video

    Deposit 10428, 09/28/2026.

    Receipts
    208341–208345
    • Checks (Lockbox 0472)
      Items
      2
      Amount
      12,078.40
    • ACH
      Items
      3
      Amount
      21,605.00

  10. Action · Mail · 6:40 in the video

    Email the AR reports

    Send the AR team, controller copied, a summary of bank activity, what posted and what needs attention, with the workbook, deposit slip, summary and confirmation attached.

    In the video
    To
    ar-team@acme-industries.example
    Cc
    controller@
    Subject
    Daily Cash Receipts – 09/28/2026
    • chk 1147 Needs attention
      Amount
      $1,150.00
    • Harbor Point partial Needs attention
      Amount
      $3,000.00
    • Brightline discount Needs attention
      Amount
      $125.00
    • Cash_Application_2026-09-28.xlsx
    • Deposit_Slip_10428.pdf
    • AR_Cash_Receipts_Summary_2026-09-28.pdf
    • P21_Posting_Confirmation.png

Rules, exceptions and controls

Rules to follow

  • Nothing posts in P21 until an AR reviewer approves the proposed application.
  • A discount is accepted only when taken within the invoice terms (2% 10 Net 30 on Brightline 1045301).
  • A partial payment is applied to the invoice and the remaining balance stays open.
  • A payment with no stub and no matching customer or open invoice is an exception: not posted, routed to AR.
  • The deposit must tie to the bank: ACH $21,605.00 + lockbox checks posted $12,078.40 = $33,683.40.

When something doesn't match

  • Check with no stub and no matching customer (R Delgado Services LLC, $1,150.00) — left unposted and flagged for AR.
  • Partial payment (Harbor Point Marine $3,000.00 against 1045177) — $2,412.80 left open.
  • Non-remittance email in the Remittances folder (a credit application) — skipped.

Controls and audit trail

  • AR Supervisor approval of the full application before any posting.
  • Posting confirmation screenshot retained as evidence.
  • Deposit slip tied to the bank ACH and lockbox reports.
  • Workbook saved to the dated AR cash receipts folder; controller copied on the daily summary.

Practitioner tips

  • Match on exact invoice number first; only then apply a tolerance rule for small differences, and send partials and unmatched payments to AR review.
  • Record short pays, deductions and unapplied amounts at the time of application so they can still be disputed.
  • Wait for the bank report's final status before applying, so intraday items do not post twice.
  • Keep the remittance beside the invoice when reviewing a short pay; the reason is usually on the advice.
  • Post every receipt from one bank day to one deposit so the deposit slip ties to the bank in one line.

About this recording

In the recording, the agent pulled both bank reports, parsed the remittance emails, built the match workbook, posted five receipts to deposit 10428 after the AR Supervisor approved, and emailed the AR reports.

Documented the way you'd train a new hire — and the same way an agent learns it.

See it on your workflow

Frequently asked questions

How do you do cash application in Epicor Prophet 21?

Pull the day's ACH and lockbox reports from the bank, read the remittance advices, run the Open Items Report and match each payment to invoices. After review, enter each payment in Cash Receipts against one deposit and pull the Deposit Slip Report to tie out.

How are partial payments and discounts handled in P21 cash receipts?

A partial payment is applied to the invoice and the balance stays open. A discount is recorded as terms taken only when it falls within the invoice terms, such as 2% 10 Net 30.

What happens to a lockbox check with no remittance stub?

If no customer or open invoice can be matched, it is marked as an exception, left unposted and sent to AR to research.

How do you tie a P21 deposit to the bank?

Run the Deposit Slip Report for the bank and deposit number and compare the check and ACH subtotals with the lockbox and ACH reports for the same value date, allowing for any exception left unposted.

What should be sent to AR after daily cash posting?

The cash application workbook, the deposit slip, a cash receipts summary and the posting confirmation, with a list of exceptions, partials and discounts that need attention.

Can an AI agent do cash application in Epicor Prophet 21?

Yes. As shown in the video, the agent works the same bank portal, mailbox and P21 screens a person does, and an AR supervisor approves the application before anything posts.

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