If obtaining the A/P to G/L Interface more than once per month, please see the document titled: “A/P Monthly Balancing & Procedures -- Interface More Than Once a Month”.
The following reports are to be run at the end of each accounting month, and KEPT in a permanent binder, along with the voucher posting journals and check registers. If you have our email package, the reports may be e-mail to yourself and saved on the network, they then can be printed as needed. Also note that once these reports are run and AP is balanced for the month, nothing should be entered into AP with that month's date.
Note: These procedures should be coordinated with the personnel working with the Purchase Order Module using Vendor Invoice Entry & Editing (Task 3), Vendor Credit Memo Entry & Editing (Task 5), the printing of Received Items (Task 22) and the printing of Shipped-back Item (Task 23). They should also coordinate with the Inventory Modules Month-end procedures.
We recommend balancing AP on a daily basis. Please see the documents titled: “A/P Daily Balancing” and “A/P Daily Balancing Spreadsheet Example”. When A/P is balanced daily using a spreadsheet (or notebook) the month-end balancing procedures go much faster.
Create A/P to G/L Interface for month being balanced; 3, 32, 3.
- The increase in Accounts Payable on the A/P to G/L interface should equal the sum of the Voucher Postings.
- Prepaid and Regular checks on the A/P to G/L interface should equal the sum of the "Check Amount" on all of the check registers for the month.
- Prepaid and regular discounts taken on the A/P to G/L Interface should equal the sum of the "Discount Amount" on all of the check registers for the month.
- Reduction in Accounts Payable on the A/P to G/L Interface should equal the sum of the Prepaid and regular checks and the prepaid and regular discounts taken.
- There should be NO unknown accounts on the A/P to G/L interface.
- Verify on the very last page of the Interface, that the bottom line division totals debits & credits are the equal.
Print Aged Trial Balance: Aged Trial Balance (Task 9), (Subtask 3)
- Using an adding machine, add the previous month's ending accounts payable total to the total of the current month's posted vouchers, then subtract the total of the current month's posted checks paid and discounts taken. The result should be equal to the GRAND TOTAL balance on the Aged Trial Balance report. However, if you are balancing A/P Daily, this is done on the spreadsheet.
- Vendor History File (Task 18), Check to make sure the "unused vendor history records" has enough records. There must be at least an many “unused” records as you have vendors., Use Subtask # 7: Adjust size of vendor history file.
- Build Vendor History Records, System Management Functions (Task 32), Build monthly vendor history records (Sub-task 4)
- Checking Account (Task 20), balance to bank statement.