Page History: Journal Entry Architecture - PO Receipt
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Page Revision: Mon, 08 Jul 2013 09:06
General Information
A PO Receipt will debit the Item Control account and credit PO Clearing (aka Accrued AP).
The credit to PO Clearing will be cleared when the receipt is invoiced in AP. If the invoice is created without clearing the receipt(s), the
Clear Unbilled PO Receipts screen can be used to clear the credit.
Please note that your PO Clearing Account in the GL should reconcile to your Unbilled PO Receipts report. If it doesn't, then the most likely cause is an AP invoice that was distributed to the PO Clearing account without actually clearing a PO receipt.
Control Account
When a
stock item is received, the Inventory Control account is determined by the Control Account listed on the
OHF tab of the Item Master.
If that account is blank or invalid, then the Control Account listed on the
Warehouse screen will be used.
If that account is blank or invalid, then the Control Account listed on the
CID Maintenance screen will be used.
Non-Stock items follow the same rules, however the user may enter a
GL account directly onto the PO to debit an account.
PO Clearing Account
The PO Clearing account is determined by the PO Clearing account listed the
OHF tab of the Item MasterIf that account is blank or invalid, then the PO Clearing account listed on the
Warehouse screen. will be used.
If that account is blank or invalid, then the Control Account listed on the
CID Maintenance screen will be used.
PO to AP Check Journal Entries
The following is a list of typical journal entries that would be recorded from time of PO Receipt through issuing payment to the vendor.
| Transaction | Debit | Credit |
|---|
| PO Receipt | Inventory Control | Accrued AP |
| AP Invoice | Accrued AP | Accounts Payable |
| AP Check | Accounts Payable | Cash |
