Accounts Payable Setup Guide

Overview

This guide covers the setup of the Accounts Payable (AP) application. The Accounts Payable application covers the creation and processing of AP Invoices, as well as printing AP checks. AP setup should be completed after the

System Manager Setup Guide and the General Ledger Setup Guide have been completed to avoid running into any roadblocks.

Initial Setup

Step 1

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• B

Step 2

• A

• B

Review and Update Rule Maintenance Records

1099 Types (TYPE1099)

The TYPE1099 rule defines the valid 1099 reporting types that can be assigned to vendors in the Remit To attribute. The 1099 Type can also be set at the AP Invoice level if setup option APMULTI1099 is enabled. The rule from the MASTER CID contains the most common 1099 types needed for most customers. Notify the MASTER CID System Administrator of any valid new 1099 types that need to be added to the MASTER CID rule.

AP Check Overflow (APCHKOVERFLOW)

The APCHKOVERFLOW rule controls when and how paid invoice details that exceed the number of available lines on the check stub are handled. If the Print Details option is checked, the overflow message will NOT print on the stub, but the allowed number of invoices will print. If the Print Details option is unchecked, and the check form is correctly set up to print the overflow message, ONLY the overflow message will print on the stub.

• The 'll_printoverflow' Print When expression is used on the check form to control printing/hiding of invoice details and the overflow message.

AP Voucher Stamps (VOUCHSTAMP)

The VOUCHSTAMP rule allows users to create custom image overlays that can be 'stamped' on to AP Voucher documents in the Voucher List screen. The stamps are saved with the document in the Doc Vault.

Doc Vault Drop Folders (DROPFOLDERS)

Review the drop folder entries for AP Invoice and AP Voucher.

Terms of Payment Codes (TERMS)

The TERMS rule controls the valid terms of payment for both the AR and AP applications. Reconcile the entries against the customer questionnaire and the Open AP Invoice import data (if customer's data includes payment terms). Add any needed terms and delete any terms that are not needed. Too many TERMS options generally add user confusion and can create invoice records with unwanted terms.

Review and Complete Accounts Payable Setup Screens

GL Types and Ranges

The GL Types and Ranges screen should be completed after the chart of accounts has been imported and before any posting has occurred in the system. This screen controls how accounts are handled in core reporting screens, as well as how accounts are handled during end-of-year processing.

General guidelines

• Asset accounts are normally a positive balance and do not zero out at EOY
• Liability accounts are normally a negative balance and do not zero out at EOY
• Owner's Equity accounts are normally a negative balance and do not zero out at EOY
• Income accounts are normally a negative balance and should zero out at EOY
• Cost accounts are normally a positive balance and should zero out at EOY
• Expense accounts are normally a positive balance and should zero out at EOY
• Misc Income/Deduction accounts are normally a positive balance and should zero out at EOY (This account type is sometimes just included with expenses, and is not always specified as a unique type)

After any changes to this screen, always click the Update GL button to set the correct type at the GL level.

GL Segment Values

The GL Segment Values screen is an optional setup screen used to further define and customize the labels and reporting options in Financial Report Writer for coded GL Segment values.

For example, if segment 2 uses a two-digit value to represent the department, an entry should be added for each valid department code that could be found in the 2nd segment. (00=ADMIN, 10=SALES, 20=SHOP, etc).

An import is available to quickly build the segments. The import should be an XLS (Excel 5.0/95) file with three (3) columns - Value, Short Description, Long Description. To import the file, select the segment values you want to import from the drop-down list and click Import.

To easily clear the segment values and re-import, use the GLSEGMENT table in SQL.

Transaction Categories

Transaction Categories are the primary tool for directing sales and time billing revenue and cost accounting. The CUSTCAT and ITEMCAT rules define the valid entries for the dropdowns in this screen.

Transaction Categories can be created to define special accounting for one-sided entries like freight, handling, packing, or other fees that may not have a cost account associated.

At a minimum, every customer must have a DEF-DEF combination created to handle transaction accounting if all sales go to the same account.

The Frozen Digits section should be used to define any Transaction Category account segments that should NOT be overridden by GL Groups (if in use) by placing 9s in the segment position that should not be overridden by GL Groups.

GL Groups

GL Groups are an optional setup to further control which revenue and cost accounts are used for certain transactions. GL Groups override the GL accounts set up in Transaction Categories for all GL positions that have not been 'frozen' in the Transaction Category setup. For example, if the DEF-ACC Transaction Category is set to post to 4000-10, and the second segment (-10) is frozen by entering -99 in the Frozen Digits area, the GL Group entry could override everything except the -10 portion of the GL account.

Set up the required GL Groups based on the customer's revenue and cost account structure. Not all customers will need GL Groups.

For more information on where GL Groups can be used, including the account determination hierarchy, refer to the Journal Entry Architecture Wiki entry.

GL Report Groups

GL Report Groups are used to further customize and add detailed breakdowns to the base GL types and ranges. These report groups are used to add groupings and totals to the Balance Sheet, Income Statement, and Financial Report Writer reports.

The layout and use of the screen is similar to setting up GL Types and Ranges, with the difference that Report Group ranges can overlap, and there is no need to update the GL after changes.

At a minimum, copy the GL Types and Ranges data to this screen, and consult with the customer on whether they need any further customization.

GL Rollup Groups

GL Rollup Groups are an optional setup item used for creating specific groupings of GL data for Financial Report Writer.

Set up any needed rollup groups, if the customer is using Financial Report Writer. It is common for this screen to set up later in the implementation cycle, after the customer has had some experience with Adjutant reporting and knows more about what they want to create.

Import Beginning Balances and Review

Import Beginning Balances

Beginning balances should be imported from the customer's legacy system using the GL Journal Entry Import Batch template. It is important to import a full GL balance file to test that the chart of accounts is complete, and mapped correctly to to right types and ranges. It is common for GL accounts to get excluded from the initial chart of accounts file, even though they have balances in the balance file.

Generate a file template from the GL Journal Entry --> Import Batch screen and merge the customer's data into an import file for the beginning balances

• Customer should provide a file of closing GL balances as of the prior month. For example, if you are setting March as the first full month of transactions in Adjutant, the customer should provide February closing balances that will stand as the opening balances for March
• Credit balances and debit balances should be placed in the appropriate columns in the import template. Values should be unsigned, and each GL account should only have a debit balance value or a credit balance value.
• Use the prior posting period to import the balances. For example, if you are starting live transactions in March, set the file's period column to YYYY002 (Feb).
• Verify that the debit column and the credit column totals match prior to importing (Adjutant will not allow an out of balance file)
• Import the file to the month prior to your first month of live transactions.
• Review and post the imported batch.

Print and Review Balance Sheet

Request and review a standard Balance Sheet Report for the period you just imported. The report should be in balance.

If the report shows an out of balance amount, review your GL Types and Ranges setup for possible issues, and review the GL balances file for possible crossed debits and credits.

Print and Review Income Statement

Request and review a standard Income Statement Report for the period you just imported. The report should be in balance.

If the report shows an out of balance amount, review your GL Types and Ranges setup for possible issues, and review the GL balances file for possible crossed debits and credits.

Correcting and Re-importing the Balance File

To reset ALL GL balances to zero for a specific period, use the following SQL QRY (Should only be used when resetting after a failed import):

• update glbals set ptdcredit = '0', ptddebit = '0', ytdcredit ='0', ytddebit = '0' where yearprd = 'YYYYMMM'

To remove the GL Distribution detail that was used to import balances, use the following SQL QRY (If you don't delete the distribution detail, you will get GL reconciliation errors between posted balances and distribution details):

• delete * from gldist where batchno = '######'

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