Vendor Invoice Center Entry General Ledger Impact
When group transactions are matched in Vendor Invoice Center Entry, the related General Ledger accounts are updated when the group is updated. The group is checked for an out-of-balance condition only in the update mode. If out-of-balance conditions exist, postings are not made to General Ledger.
Purchase Order Matching
When you match purchase orders in Vendor Invoice Center Entry, the line information and the addon and discount information from these purchase orders is stored in separate files. The files are accessed by the system for comparison purposes when purchase orders are received. With matching, you change the purchase order representation in Vendor Invoice Center Entry to match the invoice amount, so the invoice is always equal to the purchase order. After updating the group, this journal entry is made:
| DR | CR | |
| AP Trade UnmatchedAP Trade Unmatched | $100.00 | |
| AP Control | $100.00 |
Group Reconciliation
When you receive purchase orders in Purchase Receipt of Inventory Entry, the IC Control account and IC Uninvoiced Inventory account are updated with this entry:
| DR | CR | |
| IC ControlIC Control | $90.00 | |
| IC Uninvoiced Inventory | $90.00 |
When you match invoices in Vendor Invoice Center Entry to receive purchase orders and update the group, reconciliation is automatically processed to determine if purchase orders are out of tolerance. After updating the group, purchase orders that meet the tolerance criteria are costed, their addon and discount information is posted, and the AP Trade Unmatched account is cleared. This entry is made:
| DR | CR | |
| IC Uninvoiced InventoryIC Uninvoiced Inventory | $90.00 | |
| GL Account # to Post DiscrepanciesGL Account # to Post Discrepancies | $10.00 | |
| AP Trade Unmatched | $100.00 |
After reconciliation, if discrepancies exist between the amount costed in Vendor Invoice Center Entry and the amount received in Purchase Receipt of Inventory Entry, the difference is posted to the General Ledger variance account if you use Receive Cost and to the actual product cost in Inventory Control if you use Match to Cost. The difference is posted to the account number that was specified in the GL Account # To Post Discrepancies during group update, or to Suspense if no account number was specified, if the override tolerance option in the Vendor Entry Group Update/Reconcile Invoices Report is selected. For example, if the amount costed in Vendor Invoice Center Entry is $100.00 but the amount received in Purchase Receipt of Inventory Entry is $90.00, this journal entry is made after reconciliation:
Receive Cost
| DR | CR | |
| IC Uninvoiced InventoryIC Uninvoiced Inventory | $90.00 | |
| GL Account # to Post DiscrepanciesGL Account # to Post Discrepancies | $10.00 | |
| AP Trade Unmatched | $100.00 |
Match to Cost
| DR | CR | |
| IC Uninvoiced InventoryIC Uninvoiced Inventory | $90.00 | |
| IC ControlIC Control | $10.00 | |
| AP Trade Unmatched | $100.00 |