Main AP accounts and accounting entries

Primary Account

Receiving inventory account
The receiving inventory account is a settlement account used to record the perpetual (upon receipt) accrual. After processing the received transaction and
After the "transfer transaction processing to GL" process is run, the system will settle the "receive inventory account". However
Then, the cost of the capitalized inventory is recorded in the "Materials" account. You can specify
Account.

Inventory AP Meter
This is the account that Oracle purchasing uses to calculate payable liabilities when you receive materials to be converted to inventory. This
The account reflects the liabilities that have not been received by the invoice, which are usually the payable liabilities in the balance sheet. Match and verify the invoice
Then, Oracle payables will offset this account. You can define the inventory of an inventory organization in the "other accounts" tab.
This account is specified.

AP liabilities
This is the default account from the supplier location. This account serves as a loan account when entering standard invoices and
It is used as a debit account. After the invoice is paid, the system will offset this account.

Billing AP
This is the account in which Oracle purchasing is used to calculate payable liabilities when you receive the materials to be paid. Run
During the receipt accrued-end-of-period process, this account reflects the liabilities for uninvoiced receipt. When "purchasing options" are set
Specify this account in the meter tab.

Materials
This is the asset account used to track material costs. For average cost calculation, this account records inventory and in-transit Materials
Value. Once a transaction is processed, the account cannot be changed. You can click
This account is specified when inventory information of the inventory organization is defined in the valuation account area.

Debit account
A debit account is an account that debit the purchase expense on the balance sheet or income statement. If the assigned destination type is
"Inventory", this account is the "item" account associated with the sub-inventory, you cannot rewrite this account. This account is still
Debit the balance sheet account of the capitalization stock. If the destination type is "cost", you can specify this account
(As long as it is irrelevant to the project) and rewrite any default value. This account can be an asset settlement account on the balance sheet
Or the expense account on the income statement. You can create or specify this account when creating a purchase order.

Procurement Price Difference
This account is used to record the difference between the purchase order line price and the standard cost. When calculating the cost of materials transferred to stock
The purchase price difference is calculated. You cannot use this account when calculating the average cost. For example, assume that something
The purchase order line price is set to $10 per item, but the standard cost is set to $12 per item, and you have purchased
For 10 materials, the purchase price difference should be $20. You can define the inventory organization library in the "other accounts" tab.
Specify the purchase price difference account when saving the information.

Invoice price difference
This differential account is used to record the difference between the purchase order price and the invoice price. Oracle payables uses this account
Record invoice price differences for inventory items. For billing items, the account builder will use a debit account to record all the issued fares
Difference. For example, assume that the purchase order price for a certain item is set to $10 per item, but you pay for the price of $12 per item
Price Payment, And you have purchased 10 materials, then the invoice price difference should be $20. You can go to "other accounts"
This account is specified when the inventory information of the inventory organization is defined in the label.

 

Material procurement receipt

Borrow: receiving inventory account

Loan: Inventory AP accrued/cost AP accrued

 

Warehouse receiving of purchased materials

Borrow: debit account

Loan: receiving inventory account

Procurement Price Difference (under standard cost)

Cost material procurement receipt

Borrow: Fee

Loan: AP Billing

 

Invoice Matching

Borrow: Inventory AP accrued/cost AP accrued

Loan: AP liabilities

Invoice price difference

 

Payment time

Borrow: AP liabilities

Loan: bank deposits/cash/bills payable

 

Example 1

Shipping:
Dr receive ing material)
Cr payable-temporary estimate
(AP accrual/expense)

Confirm (input invoice in AP ):
Dr Accounts payable-temporary estimate
(AP accrual/item expense)

Dr tax
Cr payable (account payables/other payables)

Payment:
Dr accounts payable (
Account payables/other payables)
Cr bank deposits
(Bank)

 

Example 2

It is generally generated after receiving
Borrow: Raw Materials
Procurement Price Difference (or with or)
Loan: Estimate for now
Then, you can make the invoice payable under the payable module to match the Po,
Generate accounting entries
Borrow: Estimate
Invoice price difference (or with or)
Loan: Accounts payable
After the invoice is verified, you can make payment and generate accounting entries.
Borrow: Accounts payable
Loan: bank deposits
Then, the payable business is transferred to the general ledger, and a credential is formed in the general ledger!