Chapter 8 – Accounts Payable Accounts Payable Processing
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Transaction Allocations
At some stage, you have to match the supplier's debit and credit transactions to each other. This process does not affect the supplier's balances in any way. What it does affect is the ageing balances, in other words how the system divides supplier totals into ageing periods.
The allocation process also affects how open item remittances can print. The remittance prints all transactions until you allocate them fully, unless you choose to print statements for open item suppliers in balance forward format.
For balance forward suppliers, if you process supplier payments through the Standard Transactions function, you can get the system to allocate payments to the oldest invoices automatically. However, there could still be times when you need to allocate manually.
You invoke the Payables Allocations window in a number of ways:
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If you process a supplier payment via the Standard Transactions function, you can initiate the
Allocation function from there.
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From the supplier maintenance function, you can right click on a supplier record and choose the
Allocate option.
The Allocate All icon does an automatic allocation for you.
Use the CA, C, FC etc. icons to choose whether to display debits or credits, allocated or unallocated.
You can choose to display the transactions in two windows. If you show the unallocated debits in one window, and credits in the other, as in this screen, it simplifies the process.
To match a debit to a credit, first double click one of them. It displays at the bottom. Then double click the other one.
You do not have to match debits and credits of equal value. For example, if you match a large payment to a lower-valued invoice, you can continue matching the remaining amount.