Post A/P Invoices

When all invoices are entered, select Post A/P Invoices to post the invoices to the A/P sub-ledger and also to the General Ledger expensing by division.
Invoices entered in A/P Invoices and in A/P Invoices By P.O. are both included in this posting.
When Invoices with rental inventory are posted, the tag information is also updated.

The Print A/P Invoices report can be generated, listing each invoice with details, in the order that the invoices were entered.

After posting, the G/L transactions from Post A/P Invoices can be viewed in the Inquiry By Account# or Inquiry By Transaction#, and even output to a spreadsheet from the G/L Activity By Posting Source utility.

Posting by Batch:

Posting can be completed for all operators or by individual operator.
Within the operator selection, all invoices may be posted, or posting maybe done by individual batch.
There are two methods offered for posting A/P invoices using batches:

1. Batches can be manually setup in A/P Batch Codes to be assigned by the operator to each invoice at invoice entry.
   Posting can then be initiated by operator and batch.

2. An alternative option is to use system assigned numeric batches.
   This processing can be activated in the Company Miscellaneous Parameters so that consecutive batch numbers are assigned to each new group of invoices entered in A/P Invoices or in A/P Invoices By P.O.
   When the batch number is auto-assigned, it cannot be over-typed.

An advantage of posting using separate batches, means that Invoice entry and posting is NOT locked for other batch codes.

General Ledger Postings:

• The Credit postings to the 'A/P Control Account' are as follows:
  • If the Activate G/L Posting By Division feature is activated in Support Application Parameters the 'A/P Control Account' Credit posting to the General Ledger always reflects the Division that is assigned to the A/P Invoice header, regardless of the divisions of the expenses on the invoice details.

    If the division posting feature is activated any Distribution postings generated from A/P Invoice Distribution Details including A/P Control Account and the Distribution Expense postings, will post to the Division that is assigned to the source A/P Invoice header.

  • If the divisional posting feature is not activated then the 'A/P Control Account' Credit always posts to the blank division even if the details on the invoice post to different divisions.

• The invoice details always post each Debit to the division defined for that specific detail in the detail distribution screen of the A/P Invoice.

• Taxes Debit postings are as follows:

  • Taxes that are calculated and added to the A/P Invoice by the system per the Calculate Tax on A/P Invoices and G/L Journals/Checks feature as activated in the Company Taxing Parameters, post to the division defined in the A/P Invoice header.
  • Any Taxes added as a manual transaction in the A/P Invoice details posts to the division defined in the detail line.

The prompts to generate A/P invoice posting are:

OPERATOR

Leave this field blank for all operators, or select a specific operator from the drop-down list.

ALL BATCH CODES

Check this box to include all batches used by the selected Operator.

Note: The ability to print and post all batches respects the Posting By Batch Control flag as set in the Company Posting Parameters.

Uncheck this box to select a single batch for the report.

BATCH CODE

If manual batch codes are assigned, enter the batch code or select it from the drop-down list.
The report will print alphabetically by vendor within batch code.

If auto-assign batch codes are used, enter the appropriate batch number.
The report will print the invoices in the sequence in which they were entered.

Note: The Auto-Assign Invoice Batch Codes feature can be set in the Company Miscellaneous Parameters for the company.

A Purchases Journal and a Purchases summary and a Batch summary will print out for the batches selected. Manually add up your invoices and check that the total equals the Report Total on the print-out. Store the Purchases Journal in your binder for future audits.

Security:
To control which operators have access to the posting of A/P invoices, Security Roles can be defined with Menu Security, and the roles can then be assigned to the operators in Operators.

The ability to post invoices can be further controlled by setting up a password and defining Security Roles for the for the APVI10C module in Module Passwords.
This is validated at the point of posting when the operator is prompted if to accept the report and post so that operators that are not assigned a role activated for APVI10C can print the report but cannot initiate the posting without the password.

For more information on security features refer to System Security Overview.

A/P Purchases Exchange, Duty & Freight:
When currency exchange transactions are generated, a separate A/P Purchases Exchange, Duty & Freight Summary and also an A/P Purchases Exchange, Duty & Freight Batch Summary can be printed. The printing of this summary is controlled by the flag in the Company Miscellaneous Parameters.
Though these transactions do not display in the invoice details of A/P Invoices, a credit is generated to the currency exchange default account as assigned in Default Accounts, and a debit is generated to each distribution account from the invoice, for the amount of the exchange.
For more information about currency exchange, see Currency Codes.

Inventory Costs Posted At Warehouse Receiving:
Some firms prefer to post the inventory costs per the P.O. to the G/L and/or just to the Inventory sub-ledger, when the inventory is received in the warehouse rather than wait and post the actual costs when the A/P Invoice is entered. Although the P.O. costs may not be as accurate, this does provide a cost for products as soon as they are received into the fleet that can then allow for depreciation of the item to commence immediately.

The processing can be activated by the following Inventory Received In Warehouse settings in the Company Inventory Parameters.
Update Average Cost In Warehouse causes the product costs to be updated as follows:

• INVENTORY SUB-LEDGER POSTINGS:
  The costs are updated in the product file after inventory is received in the warehouse and the receiving posting is completed in Post Warehouse Cost Adjustments.
• GL POSTINGS:
  The costs are posted to the G/L when the A/P invoice is entered and posted through Post A/P Invoices.
  If any A/P Invoice product costs do not match the Purchase Order costs already updated in the product file, manual adjustments must be done to the inventory records to match the invoice costs. If these manual adjustments are not completed, the total inventory value in the General Ledger will NOT match the inventory value reports.

Posting Distribution Invoices:
A list of any distribution invoices that are generated from A/P Invoice Distribution Details with the dates, the amounts, and the balancing reversal invoice, is included on the A/P Purchases Journal below the G/L postings for the invoice.
The A/P Distribution Expense account is also printed on the journal.

• POSTING in the A/P
  • When posted in Post A/P Invoices, the original source invoice and a reversing invoice, post to the Vendor's account, along with each of the individual distribution invoices. The reversing invoice is assigned the same invoice number followed by a colon (:) and 00 (2 zeros).
  • The reversing invoice is required to prevent doubling the amount owed to the vendor when all the individual invoices are also posted. The original source invoice on the original invoice date and the reversing invoice need not be paid to the supplier, as they balance each other out and net zero.
  • Only the individual distribution invoices each need to be paid on their corresponding due dates.

• POSTING in the G/L
  

  • When posted in Post A/P Invoices, the original source invoice posts a credit to the A/P Control account and debits the expense accounts per the invoice details.
  • The reversing invoice used to balance out the original A/P invoice, posts the clearing debit on the same day to the A/P Control account and posts a credit to the A/P Distribution Suspense account.
  • The distribution invoices post using the original invoice number as the Source, and the individual invoice # as the Description along with the vendor name. Each distribution invoice posts a credit to the A/P Control account and a debit to the A/P Distribution Suspense account, thus also clearing the A/P Distribution Suspense holding account.

  Note: If the Activate G/L Posting By Division feature is activated in Support Application Parameters any Distribution postings generated from A/P Invoice Distribution Details including A/P Control Account and the Distribution Expense postings, will post to the Division that is assigned to the source A/P Invoice header.

Inventory/Cogs Adjustment Re: Over-shipped Items:
The Inventory/Cogs Adjustment Re: Over-shipped Items processing occurs after the Purchases Journals and A/P Purchases Exchange Report have been accepted and posted.

When inventory quantities are sold greater than the On Hand quantity, the inventory postings for the sales are generated at the cost stored in Sales Inventory or Rental Inventory. Then later if the actual inventory purchase costs entered in the A/P Invoices or A/P Invoices By P.O. or Post Warehouse Cost Adjustments, are different, then this "Inventory/ Cost of Goods Adjustment for Over-shipped Items Report" is automatically printed, with the ability to post the cost adjustments to the General Ledger.

CREDIT INVOICE COST ADJUSTMENTS - Exceptions:
When adjustments to the average cost in the product file are not updated for the over-shipped items because the cost quantity used in the averaging calculation is now negative or zero, a list of such invoices is generated.
The Credit Invoice Cost Adjustments warning screen displays the A/P invoice number, the vendor number, product number, quantity invoiced, invoice amount, with Zero current cost. This is information only. Check the average cost on the product file and make manual adjustments if required.
An optional "Credit Invoice Cost Adjustment Report" can be printed for follow-up.

OVER-SHIPPED G/L COST ADJUSTMENTS:
The "Inventory Adjustments re: Over-shipped Items Report" is printed listing the G/L posting adjustments that should be made to the General Ledger to handle the difference in the posted inventory cost from the time of the sale and the actual inventory cost from the purchase information.
The Post Over-shipped Items screen can be viewed listing the Product #, the A/P Invoice #, and the Quantity that was over sold. If the costs were entered through Post Warehouse Cost Adjustments, then the word "Warehouse" replaces the A/P Invoice #. This information cannot be changed, however transactions can be deleted and not posted.
The suggested adjustment amount, the G/L account to be debited, and the G/L account to be credited display. These three fields can be changed as required.
Click the EXP/CON button to view the G/L account descriptions.
Accept the information and close the window.
The options to process the Over-shipped Items include:

• Select Abort the Over-shipped Adjustment Posting if the report did not print successfully to be able to re-print the report the next time A/P invoices are posted.
• Select Post Over-shipped Adjustments to the G/L if the report print successfully and does not need to be reprinted to post the adjustments to the General Ledger at this time.
• Select Delete Over-shipped Adjustments if the transactions should not be posted to the G/L, and manual journal adjustments to the G/L should be made if necessary.

Note: If the correct cost was entered in Correct Daily Close Cost Errors for an over-shipped sales part with zero cost, but the average cost was NOT updated in the product file at that time (e.g. cost was left as zero in Sales Inventory) then it will not appear on this over-shipped Adjustment report. This is because, the correct cost has already been confirmed and posted with the invoice.

Inventory Adjustments For Internal Transfer Items:
This posting adjustment report only applies when the central purchasing and distribution processing is activated, as described in Central Purchasing Overview . It is generated automatically when an Internal Inventory transfer is posted in Post Inventory Transfers with inventory costs that differ from the inventory costs entered in the A/P Invoices or Post Warehouse Cost Adjustments.

This report prints after the Purchases Journals, A/P Purchases Exchange Report, and COGS Adjustment Report, have been accepted and posted.
It does distinguish between transfers that were actually posted to the G/L from Post Inventory Transfers, and transfers that were just printed, accepted, but not posted. Both types of transfers print on the Adjustment Report, but only transfers that were originally posted can generate automatic G/L postings here.

The Post Internal Transfer Adjustments display on the screen listing the G/L posting adjustments that should be made to the General Ledger to handle the difference in the posted inventory cost from the time of the transfer and the actual inventory cost from the purchase information.
The Product #, Transfer #, Quantity, Adjustment amount, the G/L account, From division, To division and date display.
Click EXP/CON or press <F9> to view the Transfer Cost and the New Cost.
This information cannot be changed, however transactions can be deleted and not posted.
Accept the information and close the window.

The options to process the Transfer Adjustments include:

• Select Abort the Transfer Adjustment Posting if the report did not print successfully to be able to re-print the report the next time A/P invoices are posted.
• Select Post Transfer Adjustment to the G/L if the report print successfully and does not need to be reprinted to post the adjustments to the General Ledger at this time.
• Select Delete the Transfer Adjustment if the transactions should not be posted to the G/L, and manual journal adjustments to the G/L should be made if necessary.

If the transfer has not yet been posted in Post Inventory Transfers and the costs are different on the A/P invoice, it does not appear on this adjustment report. Instead it sets the transfer cost to the new average cost.

Note: The A/P Transfer Adjustment does not apply for re-rent items that were ordered using the P.O./Contract link as outlined in Contract/Purchase Order Link Overview.

Error Conditions When Posting:
When Post A/P Invoices is initiated, all invoices are checked before posting. If any errors are identified in the information, the posting process will be aborted.
The problem invoices must be deleted or corrected before posting will be successful. To find the errors, check the Purchases Journal.

Header does not equal Details:

• The invoice total in the header, does not match the sum of the invoice details;
• solve by re-accessing the invoice in A/P Invoices in Change mode, and entering through the header fields and then the detail fields to force a recalculation of the totals.

Invalid G/L Account:

• G/L Account number was deleted after invoice was made but before posting;
• solve by re-adding G/L Account to Chart Of Accounts.

Invalid Tag On Line:

• The Fixed Asset Tag selected for billing the purchase of an Asset is missing/wrong or was deleted after invoice was made;
• solve by deleting the line associated line item in A/P Invoices details in Change mode and re-adding the item as Inventory received with the correct Tag#.
• or solve by deleting the entire invoice details & header in A/P Invoices and re-adding by PO in A/P Invoices by Purchase Order.

Invalid Division:

• Division was deleted after invoice was made;
• solve by re-adding Division to Divisions.

Invalid currency:

• Currency was deleted after invoice was made;
• solve by re-adding currency to Currency Codes.

Duplicate Invoice:

• An invoice has the same number, vendor, and date, as another invoice. This is usually related to Distribution invoices.
• solve by re-accessing the A/P Invoice Distribution Details in the window from A/P Invoice Details, and either delete the invoice in the table and re-enter it with a different number, or without deleting it just change the invoice date in the table

Posting rollback:

• Posting code was P because of rollback;
• solve by blanking out Posting code in AP Invoice Posting Status.

Posting Control:
The Post A/P Invoices program is designed to be run by one operator at a time per batch.
Locking will occur if another operator attempts to run the program at the same time, or if the first operator did not exit the posting program correctly.
A Posting Control Information warning will appear on the screen preventing the second operator from proceeding, and only operators with Security Role permission to reset the A/P Invoices flag will have access to the RESET button that unlocks the program.
Whenever the posting control flag for A/P Invoices is reset, a record is written to the Delete Log for the Function APVI91A.