RE: close purchase received lines when the supplier voucher never

[david_mallory]

RE: close purchase received lines when the supplier voucher never

We have run into this problem and devised a fix after much head-scratching.
I believe you are saying you have the following situation. Goods ordered on
a PO and received, vendor does not invoice for line x, receipt sits open
unvouched. Need to handle open purchase order line and unvouched receipt. We
are doing the following.

Create a new AAI in AP setup, with a name like FIX. Put an expense account
in this AAI to which you can charge these unvouched lines. The vouch entry
you will do below will be a credit to that account, to offset the debit
expense made when you received the goods (P4312). If you like, you can
change the account in the AAI as you do this process, to credit the items
wherever you want. The vouch process will do the usual debit to your
Received-Not-Vouched account, clearing the credit made at receiving time
(P4312), which is another part of what you want.

Start the voucher match for the unvouched line in the normal way. Do the
header. In the grid, pull to the left the Pay Status field and the GL Class
field. Make a tab for this.

In Pay Status, put a V. This will prevent the line from being paid. Payment
groups will ignore it. (See data selection in Payment Groups program.) It
will sit out there, harmless.

In GL Class, put the AAI identifier, such as FIX, that you set up above.
This will credit the line to the account in that AAI, instead of what a
voucher usually does per the usual AAI, which is to credit your usual AP
Trade Payables account.

Use OP (vouch process option) of 1, the usual (match).

Done.

Summary: You have vouched the open line as usual, EXCEPT you have credited
the line to an expense account instead of the AP Trade account, offsetting
the expense to account "whatever" when you did the receipt of goods (P4312).
You have also offset the receiving credit to Received-Not-Vouched with the
usual debit via the vouch process.

Dave Mallory Denver Water 7.332 SP 15.1 Oracle 8.1722 NT 4.0

 

[mjf]

RE: close purchase received lines when the supplier voucher never

David

I like this solution to a problem that we all have. Good thinking. However,
it still leaves one problem. The voucher will always be "open" on the
supplier's account (even though the pay status is "V"). How about this minor
change to your idea:

Instead of the AAI for FIX for Trade Account payable being a P&L account,
make it a Balance Sheet clearing account. When you do the voucher match, you
will clear the received not vouchered account and credit the clearing
account. At the same time as you overide the GL class in voucher match, also
overide the bank account to be a P&L account. In this way you can then take
the process a step further and close the voucher on the supplier ledger by
processing a dummy cheque run. This will clear the balance sheet account,
close the voucher on the supplier ledger and credit the P&L. Without looking
at it too closely, I think this would work. You may need to setup the P&L
account as a bank account in the AP setup.

Regards

Marty Fleming
Business Analyst
Richmond Limited

Phone: +64 +6 8786464 Ext 8168
Mobile: +64 +21 478946
Fax : +64 +6 8780959
Email: mailto:[email protected]

 

[david_mallory]

RE: close purchase received lines when the supplier voucher never

Marty,

Looks like a good idea. I will pass it along to our accounting manager. So
we get it to the expense account, but we push it through the check-writing
process, removing the unpaid voucher. Nice work.

Dave Mallory

 

[wkwong]

I believe it's a little too much too do to set up all those AAIs, furthermore, users have to be very careful in remembering to populate the GL class fields, ect.

I have another suggestion

Let the set up remain status quo.

Perform a voucher match as usual but use a dummy supplier name that you may create. Yes, you may still do Voucher match to a different supplier name although the PO is issued in another name. this will clear the RNV account and credit AP - dummy supplier.

If you encounter the same situation for the other vendor and is a common practice in the your company, you may still use the same dummy supplier to match the other open receipts. On a periodic basis, you may run an AP ledger report to extract all the vouchers that you have matched to this dummy supplier address. Sum it up and create a Credit note to be entered directly thru Standard Voucher Entry, (this is a negative transaction) and you may credit the expense account. This will zerorize the open balance for the dummy supplier.

If this is a one off situation, then you may create the credit note immediately to zerorize the open balance.

Advantages:
AAI is not affected.(need not touch setups)
Less transposition error.
Simpler and straightforward steps.

**any feedback is appreciated
regards.
wkwong