To close the Accounts Payable period at the end of the month or the end of the year, review the below:
- Voucher Batches - Verify there are no unposted voucher batches open and the related journal entries are posted.
- Voucher Payments - Verify there are no unposted journal entries for supplier payments.
- Purchase Accrual Inquiry - Review the Purchase Accrual Inquiry screen. This screen lists all received PO items which are not currently associated to a supplier invoice to define what should happen to them within the Purchase Accrual process.
- Omit - Omit all purchase orders items you do not want to distribute to the accrued expense GL for the next month. This is the case for all event related purchases so make sure to show the Event ID and Event Header columns.
- Close - If checked, the purchase order item is excluded from any further finance processes and is to add to a supplier invoice voucher. Only check this check box if an item is received physically but you will never receive an invoice. If items are marked as received but are not received, it is recommended to cancel the purchase order.
- Ready for accrual - All items neither marked for Omit or Closed are accrued within the Purchase Accrual routine below.
- GL Distribution – Purchase Accrual - To execute the accrual routine, generate a new entry in the GL Distribution – Purchase Accrual screen for the current to close period. This takes all purchase order items ready for accrual from the Purchase Accrual Inquiry and distributes their expense to the default Purchase Accrual GL account. You can then approve the generated journal entry and post it to the GL. As soon as it posts, a reversal entry for the next month is created and you can post it in the applicable period. Make sure the Accrual GL account is configured in organization parameter PO 200.
- Event Prepaid Expenses - When Enterprise is configured for Event/Job Prepaid Expenses, you need to run a journal entry each month to reverse prepaids and recognize expenses using the Journal Entries - Event Prepaid Reversals screen. Generate the journal entry, verify the information and post it. You can enable organization parameter AP 021 to create future period automated prepaid reversal entries each time voucher batches are posted where prepaid entries exist.
- Cash Book - Run through the Payment Reconciliation to prepare for the bank reconciliation.
- Close Period - Run the Close Period routine for A/P closing the current period and setting the next fiscal period to Current.
Comments
0 comments
Please sign in to leave a comment.