Creating a comprehensive monthly report that shows a client's pre-paid credit memo transactions relating to applied payments and balances can provide clear financial transparency. I'm here to help you achieve this, Scott.

To start, let's generate a Transactions List by Customer report to see the sales receipt that was paid by check at the beginning of the year and the initial credit memo:

1. Hover to the left panel, then choose Reports.
2. In the search tab, enter Transaction List by Customer report.
3. Click the Columns tab, then tick the Memo/Description, Transaction Type, and everything you want to include in your report.
4. Go to Filters, then add a condition.
5. Click Customers, Equals, then choose a Customer.
   

    

Once done, let's run another report called Invoice and Received Payments to see the invoices with applied credit memo:

1. With the same process, search for Invoice and Received Payments.
2. Click Customize, then select Rows/Columns.
3. Tick the Transaction Type, Memo/Description, and the rest of the information you want to include in your report.
4. Click Filter, then choose the customer you want to add.
5. Select Run Report. 
   

Since we can't customize the report specifically for invoices that have credit memos applied, I recommend exporting your report and then manually editing it using your Excel.

Then, to see the remaining credit memo or balance your customer has, we can go directly to their profile instead of running a report:

1. In the left panel, choose Customers & Leads.
2. Select Customers, then locate your customer who has a credit memo.
3. From there, you'll see a summary of your customer's Open Balance.
   

By customizing these reports in QBO and manually filtering or exporting them to Excel for additional adjustments, you can generate a clear and specific report.

Once done, you might want to save your customized report so you can easily access and reuse specific report configurations, saving time and ensuring consistency in financial analysis and reporting.

Moreover, did you know that you can schedule a free consultation with our QuickBooks Live Expert Assisted? They can offer tips and guidance about managing your QuickBooks Online account, specifically for reports.

Utilizing the steps above can keep your client informed about their pre-paid credits, credit applications, and remaining balances. If you have additional concerns, I'll be here to lend a hand, Scott.