Journal entries

[santosh786]

Hi ,

Can any one suggest me what are the journal entries that are reflected when we raise the requisition , generate purchase order and do the receiving.

Rgds
Santosh.A

[sreedharenter]

Hi, Santosh

for raising the Requisition or PO there are no entries available or generated in the system,

While receiving receipt the entry is

Inventory Receivable A/c Dr
To AP accrual A/c


When we receive the Goods, the Journal Entry will be

Inventory A/c Dr
To Inventory Receivable A/c

While we approve the invoice and create the accounting entry is

AP Accrual Liability A/c Dr
To AP Liability A/c


Finally when we make payment entry is

AP Liability A/c Dr
To cash/Bank clearance A/c (If CE is there, Other wise Credit goes to Bank A/c)


Regards
Sreedhar.D
Functional Consultant

[admin]

Thanks Sreedhar. Here is another link may be of any help,

topic.asp?TOPIC_ID=1265

[santosh786]

Hi Sridhar,

Thanks for your valuable input .....

Cheers
Santosh.A