AP Issue reg: APTB

[tsm.apps]

Hi All,

Could any one tell me the solution,

1. User created the invoice on nov-2003 which was validated and Accounted.
2. made the payment 0n feb-2004 which was Accounted.
3. Both invoce and payment wera transfered to GL also and Reconciled as well.
4. Now user ran the Accounts Payables Trail Banlance it was quoted as two liability Accounts which were one is unpaid amount and another one is negative amount.
5. Here the problem is Invoice liability account and payment liability account both are different.

Please any one give the suggestion to correct the APTB report. It means we need to nock off the negative amount and Umpaid amount.

We need to remove the two liability accounts.

Thanks and Regards,
Siva

[vijayasarathyr]

Hi Siva,

please clarify me. Usually when you choose an invoice to pay in Oracle, the liability a/c in invoice is what picked automatically when you make payment.

Is it possible to use separate liability account for Invoice and Payment. And also, are they maintaining separate liability account for each of their suppliers?

Vijayasarathy R

[tsm.apps]

Hi Vijay,

Invoice No.524134 entered on nov-2003 and accounting entries are follows,
expenses a/c
Ap Liability A/c (405)

Payment number 523123 and paid on feb-2004 and reconciled and transfer to gl as well. The payment accounting accounting entries as follows,
AP liability1 a/c (506)
Cash clearing a/c

now he is running the APTB it is showing the two liability accounts bcos invoice liability account and payment liability account both are different.

In APTB quoted as two amounts as unpaid amount for invoice and paid amount with negative balance.

Thanks and Regards,
Siva

[abhgaur@gmail.com]

I think,

Old Inv Acctg:
----
Expense Acc A
Liability Acc B

Old Pay Acctg:
----
Liability D
Cash Acc E


Suggestion
--------

1) Create a Debit Memo [Dummy #1]
Liability Acc B
Some Clearing Acc X

2) Create a Standard Invoice [Dummy #1-1]
Clearing Acc X
Liability Acc D

3) Thereafter create a Zero dummy payment to knock them off

Thanks

[tsm.apps]

Hi,

On your suggestion, we can raise a debit memo against invoice but i have small queries,
-- which date i have to raise a debit memo
-- when you raise a debit memo how you apply to the old invoice, here there should be a some outstanding amount to raise debit memo right.
-- If you raise a debit memo and std invoice with todays date how it impact on that old date.
-- we can knock off the invoice and payment and what should be the next step, here we neet to enter new invoice and payment with old date?
-- what about GL already we transfer the invoices and payments to Gl.
-- what about trail balance.

Please give me suggestion regarding offset function, is this related to above case

please give more light on this issue.

Thanks and Regards,
Siva

[P_MANMOHAN]

HI SIVA,

First can u check whether the Liability which was at Financial Options and at Supplier Site Level is same.

Goto ap_liability_balance check with invoice_id. See if the entered DR and CR are matching. If not the APTB will publish worng amount.

Tell me is it a Foreign Currency invoice? Had you enabled Rounding Diff at SOB level. Coz if there any diff between daily rates from invioce date to payment date the Rounidng diff A/C come into pic with diff amount.

Let me know with any other queries

[tsm.apps]

Hi,

It is not a foreign invoice. Only this invoce having problem.

In APTB report showing two liability accounts example

liability account(405) of invoice,
Dr amount 1000
Cr ampunt 1000---unpaid amount
liability account(506) of payment
Dr amount 0
Cr amount -1000---negative amount

Thanks and Regards,
Siva

[abhgaur@gmail.com]

Hi Siva,

1) On Point: "is this related to above case" - I think yes . Becasuse the Issue you are in a funcational Issue and i think fix through a business probable is a better way .

2) On the point - As when on which date you can enter this entry , i would suggest to check with your accountant as what is the last open period . I hope 2003 & 2004 are not open in your books so you may not be able to make any changes to those periods.

3) Thus , check as what is the last open period and you may enter these journals there.

4) Thereafter in that period
4.a) First enter the Invoice and then Debit Memo - Now ensure you change the Liability Accounts in the Invoice header part so that they knock the old balances.

in the example you have quoted ...
Amount : 1000 , Invoice Liability A/c : 506 and for the Debit Memo : Liability A/c 405

4.b) Question : Why you have mentioned Debit amount for payment as 0 ? Did system did not debited Liability in your case ?.. Check this out as if it did not debit then it would surely written that off. In that you may have to take that account for offset purpose.

4.c) Now you have
Invoice & Debit memo of the same amount . Thus net amount payable is Zero. That needs to be knocked out by creating a dummy payment of Zero amount.

5) Please clearly mention the details of the previous entry in the invioces/Debit memo/payment and also get audited from your auditor / accountant as this is just correction and net result will ensure allocation between liability thus it may not have an impact .

6) With regards to posting in GL .. if you would notice net accounting will be zero .

Thanks
Abhishek

[tsm.apps]

Hi,

Thank you for your valiable suggestion. I will try in the development instance and tell you.

Thank you..

Here one thing, for this case i raise a SR to oracle and oracle suggest data fix bcos the problem is in APTB report that is it is not quoted as accurate balances. Then work arround is we need to equel the payment and invoice liability accounts.

which is better please suggest me.

Thanks and Regards,
Siva

[vvrsankar]

Allow zero payment option. Through zero payment you can close/offset


Ravi Sankar