A primary function of the system is to track the amounts owed by the business to suppliers in both local and foreign currency. The system shows, invoice-by-invoice, the balance on the account and does not lose the detail of what makes the account up in a balance brought forward - it is an "open item" system. When payments made to suppliers are entered and allocated to invoices, the differences on exchange are calculated and posted to the general ledger - that is only if integration to the general ledger is enabled from the company preferences page under the setup tab.
Note that in some countries the word "Vendor" is used instead of "Supplier" - please make allowances for this.
Suppliers aging report that takes into account the actual terms applicable to the supplier, and is supported by detailed inquiry of actual invoices due.
Full on-screen inquiry on a supplier's account, complete with a general ledger breakdown of how each invoice and debit note (Supplier credit note) was posted. Inquiries on payments made will show how a payment was allocated to invoices and the difference on exchange attributable to each invoice.
Open item - full analysis of the outstanding balance is maintained
Retrospective - de-allocation and re-allocation of payments and/or debit notes with re-calculation of differences on exchange and corresponding general ledger journals
Any number of supplier contacts can be maintained against the supplier
Fully integrated to stock - whereby purchase order receipts of stock can be selected for entry against a supplier invoice.
Full standard costing price variances between standard cost of stock received against the invoiced actual cost at invoiced exchange rate is recorded and posted to the general ledger
Purchase invoices and debit notes can be entered directly to multiple general ledger accounts with charges divided up at invoice entry time
Purchase invoices and debit notes can be entered as shipment costs - to accumulate against the cost of a shipment for costing of the stock items on the shipment
Nominal purchase order items received can be selected for invoicing in the same way as stock items. Purchase price variance from the order cost are taken to the general ledger account that the order item was coded to
Supplier payment run will create system entries to record payments for all suppliers with due amounts. Facilities allow for holding disputed invoices from being included in the payment run, but still recording costs in the general ledger.