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Accounts Payable
Missing image: ap_ribbon.png
The Accounts Payable section is designed to handle almost any standard accounts payable transaction normally found in a complete business accounting application. The purpose of an accounts payable section in an accrual accounting system is to allow you to recognize an expense at the same time that the obligation to pay it is incurred. This is typically the date that a service was provided or materials were delivered. Therefore, the costs (obligation to pay) are recorded as a liability in the accounts payable general ledger account.
For the entries into the invoice form, the credit side of the transaction is typically posted to the accounts payable liability account and the debit side is posted to the appropriate expense account (i.e., telephone account). The system uses default values set up on the supplier record for both the liability and the expense account.
When checks are written to pay invoices that are in the accounts payable section, the system will automatically post a debit to the accounts payable account and a credit to the appropriate bank account.
For a video overview of Accounts Payable processes click here.
Accounts Payable Data Entry
Accounts Payable Inquiry
Accounts Payable Reports
Accounts Payable Actions
Common A/P Transactions