Accounts Payable Invoice Processing
Ease of entering Accounts Payable invoices is the hallmark of the StreamV Accounts Payable Module. Vendor records can be located and selected based on the vendor name, the vendor account number, the purchase order associated with the invoice, or using other information. Once the correct vendor has been selected, the “Enter AP Invoice” Option can be used to quickly process an accounts payable invoice for the vendor.
As the accounts payable invoice entry program is executed, the system automatically loads the vendor address, payment terms and other default information from the vendor record into the program to speed up invoice entry. This default information can then be accepted or edited based on the invoice being processed.
The due date for each invoice is automatically calculated by the system based on the invoice date, payment terms, and vendor entered for the invoice. The due date is then used to automatically calculate a “Pay Date” for the invoice. The Pay Date is the date the invoice is actually scheduled for payment. This pay date can be set to default to the due date or it can be set to default to another value (i.e. a few days before the due date, 15 days after the due date, or never) based on company policy. The dates automatically calculated by the system can also be manually changed as required during invoice entry or after the invoice has been input into the system.
Proper use of the invoice dates during invoice processing allows you to schedule payment for each invoice automatically as it is being entered. This allows for the minimum amount of handling (operator input) per AP invoice.
If there is an available discount for the invoice being processed (based on the terms record being used to process the invoice), the system will automatically calculate the amount of the discount and the discount date (the date that the invoice must be paid in order to take advantage of the discount). Both of these pieces of information are calculated from the information in the terms record being used. The discount amount and date may also be edited by the user after the invoice has been entered into the system to allow for unusual situations (such as taking the discount after the discount date has expired).
Once the basic information about each invoice has been entered into the AP Invoice Entry program, the total amount of the invoice must be distributed to the appropriate general ledger account or accounts. The system will not allow you to save an active accounts payable invoice until the entire amount of the invoice has been applied by the operator in the AP Entry program.
The method that is used to distribute each accounts payable invoice depends on if the invoice is associated with a purchase of inventory for resale.
Non-inventory related AP Invoice
If the invoice being processed is not associated with an inventory receiving or vendor shipment transaction, the invoice amounts are manually or automatically distributed to the correct general ledger accounts in the AP Entry program.
Inventory related AP Invoice
If the invoice being processed is associated with an inventory receiving or a vendor shipment transaction that is processed in the system, the AP invoice is matched to the appropriate inventory receiving or vendor shipment transactions during AP invoice entry. This process of matching vendor purchase order, receiving, and accounts payable information is referred to as Three Way Matching and it is discussed in detail in later sections of this document.
If freight or other non-inventory related charges are also included on the inventory related vendor invoice, these non-inventory charges are distributed to the appropriate general ledger accounts.
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Non-Inventory related AP invoice processing