Performing Daily Processes in Accounts Payable

In this lesson we will look at the two fundamental account payable transactions, invoicing and payment, including an introduction to the automatic payment program which is used to simplify and streamline the payment process.

Your office printer required toner ink unexpectedly and you have purchased new from the office supply shop near you. You need to enter the invoice in the system without going through the purchasing component, directly in financial accounting.

You already posted the invoice for the toner you purchased from the store. At the store you paid in cash from the petty cash your office maintains. You need to close the open item created from the invoice posting by entering the cash payment you made at the shop in the system.

Your company processes hundreds of invoices daily and each has specific terms of payment and payment methods based on contractual agreements. Many invoices have provisions for discounts based on early payment and penalties for late payments. You need to efficiently manage your payment processing, including communicating the payments to your house banks in a streamlined way with the least manual intervention possible. For this, you need to understand how to use the automatic payment program.

• Invoices and Credit Memos
• Incoming and Outgoing Payments
• Executing the Payment Program