Accounts Payable invoice amounts may be manually or automatically distributed (allocated) to the appropriate departments and general ledger accounts during invoice processing, or they can automatically be charged against a clearing account for later allocation. A general ledger account can be assigned to each vendor in the system and this account will be used as the default distribution account when processing invoices for the vendor. In addition, the “Automatic Distribution” feature available in the AP Entry program allows you to set up user defined distribution templates for invoices which are processed on a recurring basis and which are normally distributed to several different general ledger accounts and or departments. The automatic distribution records can be used to simply pull up the accounts that the invoice should be distributed to, and they can also be used to split the invoice amount between the different general ledger accounts defined in the record based on the percentage assigned to each account. This is useful when you consistently allocate an invoice amount to several accounts and or departments on a percentage basis
Another feature called the “Frequent Allocation List” allows you to define and quickly pull up a list of the accounts which are frequently used in the AP Entry program and to select from this list as you are processing invoices.
Manual distribution of accounts payable invoice amounts may also be processed efficiently. The system automatically displays only the GL accounts that are set up for posting in the current division department, period and year. Accounts that should not be distributed to (such as cash or general ledger control accounts that are updated automatically by other programs or modules), may not be selected during accounts payable processing.