AP :Accounts Payables Journal Entries

 

Accounts Payables Journal Entries
ACCOUNTING ENTIRIES
	PAYABLES
NOTE: We don't have Accounting Entries for PO & Requisition
P2P ENTIRES:
When we receive the Goods in the staging area the accounting entry would be (GRN):
Receiving Inventory --- Dr-----It will pick from receiving options.
AP Accrual --- Cr---It will pick from Purchasing Options.
When we are moving the Goods from Staging area to Sub-Inv (Recv Trans):
Material A/C --- Dr-----It will pick from Inventory Options
Receiving Inv --- Cr----It will pick from Receiving Options
While Creating Invoice:
AP Accrual --- Dr
Liability ---- Cr-----It will pick from supplier Liability
While Making Payment:
Liability - Dr
Cash Clearing - Cr-----It will pick from Bank
Reconciliation:
Cash Clearing --- Dr
Cash - Cr
Standard Invoice Entry:
AP Accrual --- Dr
Liability ---- Cr
Debit and Credit Memo Entries:
Liability --- Dr
AP Accrual --- Cr
Prepayment Entries:
While Creating Prepayment Invoice:
Prepayment --- Dr----It will pick from supplier
Liability - Cr----It will pick from supplier
While Making Payment to Prepayment:
Liability - Dr
Cash - Cr
While applying Prepayment on Standard Invoice:
Liability --- Dr
Prepayment - Cr
INTEREST INVOICE ENTRY WHILE MAKING PAYMENT :
Interest expenses -- Dr-----It will pick from Financial options
Liability ---------------- Dr
Cash ---------------------Cr
EXPENSE REPORT ENTRY :
Item Expense A/C --- Dr
Liability --- Cr
PAYMENT REQUEST INVOICE ENTRY:
Item Expense --- Dr
Liability - Cr
FUTURE DATED PAYMENT ENTRY:
When Bills Issued:
Item Expense - Dr
Bills Payable --- Cr
When Maturity Date Confirmed:
Bills Payable - Dr---It will pick from Supplier or Financial options
Liability - Cr
WITH HOLDING TAX ENTRY:
When Withholding tax applied on standard Invoice:
Item Expense --- Dr
Liability --- Cr
Withholding --- Cr-----It will pick from WHT codes
Auto Generated WHT Entry:
Item Expense - Dr
Liability --- Cr
RETAINAGE RELEASE ACCOUNTING ENTRY:
When Invoice matched with PO accounting entry would be:
Accrual ------ Dr
Liability ---- Cr
Retainage ---Cr----It will pick from financial options
While making payment to the invoice matched with PO:
Liability ---- Dr
Cash --------Cr
When Retainage Release Invoice Matched with PO accounting entry would be:
Retainage --------Dr
Liability ----------- Cr
While making Payment to Retainage Release:
Liability ---Dr
Cash -------Cr