1.1 Define the below Auto Accounting rules
Bills Receivable: The bills receivable account for your transaction. Receivables uses this account when you exchange transactions for bills receivable.
Factored Bills Receivable: The factored bills receivable account for your bills receivable transactions.
Remitted Bills Receivable:

The remitted bills receivable account for your bills receivable transactions
Unpaid Bills Receivable: The unpaid bills receivable account for your bills receivable transactions.

1.2 System Options
Enable the bills receivables option. Enable the ‘allow payment of unrelated transactions‘ check box as per the business requirement.

1.3 Assign a bills receivable transaction batch source to the AR: Bills Receivable Batch Source profile option

2.2/2.3
 
Bills Receivable – This payment method is used to create bills receivable from transactions. No bank is attached to this method as this method is not used for receipt creation.

Bills Receivable Remittance - Used for bills receivable remittance