I would like to get rid of some invoices that are currently in the AP module. These invoices have NOT been paid and are dated in 2006. In 2007 our bookeeper wrote off this liability in the GL so we don't want this to pass through the GL. Is this possible?

My idea was to do the following:
Issue credit memos against the invoices in question.
Use a 12/31/07 date for each invoice.
Post in AP
Then go to the current year's GL and retrieve this batch.
Once retrieved, simply delete the batch in the GL.

In other words, we're trying to get the AP total to match the GL's AP total for the period ending 12/31/07.

Oh, and we've already created the next year in the GL so we can't post to the 'prior year'.

We are currently running version 9.0A

Please tell me what 'system dates' I will need to do to make this happen.

Thank you!

Lulu

Hi Lulu

What does it mean "our bookeeper wrote off this liability in the GL"? If he/she debited the AP account without writing off the balance on the vendor's account, then this is a mistake because the AP won't tie to the GL control account.

The system date you choose is totally irrelevant.

What you are asking is more of an accounting question rather than a Adagio question, one that requires some background knowledge about what where your books currently stand. You should discuss this your accountant.

Steve

Hi Lulu,

Your thinking is correct, but I agree with Steve that your accountant should be part of this process.

Indeed if these adjusting entries have already been entered and posted in GL, then you would not want to re-retrieve this adjustments based on crediting the AP invoices. So ensure that if you post credit notes in AP that these entries are not posted in GL. Do your usual processing and retrieve the AP batch to GL. Then do these credit notes and retrieve into GL. This is likely the easiest so that only credit notes are in the batch and yuo don't accidentally delete AP entries that are valid.

As for dates, use 12/31/2007 as you indicated if that will be the date you are trying to reconcile to. Of course this will have no effect on the GL because you will be deleting whatever entries are generated.

You don't have to use any special system dates. Simply ensure that when you enter the credit notes, the document date is Dec 31, 2007.

I suggest making a backup of your AP and GL data prior to posting the credit notes, in case any of the entries did something that you were not expecting.

Ok, so the AP module will accept the 12/31/07 date. That's what I wasn't certain of. We are actually the accountants and are trying to get the AP module to tie into the GL balance, which is correct.

Thanks for your help. We'll try it today.

Lulu

Dear Tech Support

How did you manage to agree with me, and then write all of that stuff, and then post it in the same minute that I posted my reply? You are amazing!

Steve

Not so amazing - the comments were edited after I realized you posted. Since I agreed with your assessment, I didn't want my post to appear to contradict anything you said.