How to record a partial customer refund please

Forceboats

I invoiced a customer last month and they paid 50% of this Invoice. I applied the payment to the invoice and left a balance showing of 50%. Product has now been issued under warranty so I have given the customer back his deposit amount in this month. I created an adjustment note for the full invoice amount and click on 'give a refund' it is only allowing me to refund the full invoice amount and I can't choose to refund 50% of the invoice. I have also tried writing a cheque for the refunded amount & then creating a credit note but it still leaves the customer in credit instead of bringing the balance back to zero.

How do I go about crediting the full invoice and giving a refund of the deposit please leaving the customer with a zero balance?

Kris_Williams

write the cheque to the customer and post to Accounts Receivable - this will put the credit in their account that can be marked off again the invoice