Accounts Payable
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Payables Entry

 

 

 

The Accounts Payable System allows you to record invoices and other charges and credits due vendors and then generate checks to pay those items. These invoiced and other items to be paid are grouped together and entered as payable items into the Accounts Payable System. Each set of payable items entered into the system will be summarized into a journal entry which is fed to the general ledger. This means that the amount of the set will balance with the amount posted to the Accounts Payable Control Account in the the general ledger. This provides an easy to follow audit trail.

Excluding related comments, there are four record types that make up a deposit. In most cases you will deal with only three of these records.

Payable Set:

Defines the Payable Set in terms of date and amount. The total amount is the sum of the Payable Items related to it.
Payable Item: One or more records per Payable Set representing a transaction or other item to be paid in terms of who is to be paid, the document or item number,the amount to be paid and the terms of the transaction.
Distribution: One or more records per Payable Item representing an adjustment to the balance of that item. There are several type of distribution records that can be associated a Payable Item: "ENT" source indicates where the item is being charged or expensed and normally appear as debit amounts; "ADJ" source indicates and adjustment to the original amount of the Payable Item and will appear as either debit or credit amounts. "PAY" and "DSC" indicate the payments and discounts applied to the item. Payment and discount records are added automatically by the system when items are paid.

Payable Entry is accomplished by the user creating a new Payable Set, creating one or more Payable Items within the Payable Set, and then creating one or more of the "ENT" type distribution records for each Payable Item entered.

When you have completed entry of the Payable Set and insured that it balances to the actual dollar amount of the items you intended to enter, you must post the set. All Payable Sets for an accounting period must be posted before you can close the period.

Unposted Payable Sets are not reflected on agings, cash requirements reports, or payments but are immediately reflected on any inquiries and account balances as they are entered.

The links will guide you through the basic steps to enter a set of payable items. These links are not intended to show you all of the options and functions available. Use this Quick Start guide while you actually enter a Payable Set. Each Quick Start link will give you the information you need to enter a simple straightforward set of payable items. Click on the above image to start the Quick Start guide.

We suggest that you practice entering Payable Sets and explore the many options and functions in order to fully learn the features available to you. When you are finished with practice, you can unpost and delete your practice work.

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