What are the parts of Accounts Payable processing?

Question

I am applying for a job as an accounts payable person. I am vaguely aware of the process. Need more info

Answer 1

Every company is different, but the principles are generally the same.

1. Invoice is received and matched to Purchase Order &/or sent to the requestor for approval. It is also matched to shipper/packing slip or other proof of delivery of the goods/services. If it does not meet these criteria, give it to the requestor or accts. pay manager for investigation.

2. Information is entered into the company's accts. pay. computer system (tracking invoice aging by hand is a pain), the company will probably have an existing policy about payment terms for invoices. They'lll have to be aged 'x' number of days before payment can be issued (Net 30 days, Net 45 days, net 60 days). This info. should also be on the purchase order that was issued, so the vendor is aware of it.

3. On set days of the month payments are processed in batch check runs, usually on 1st & 15th, the 15th & 30th, the 1st or the 15th only, etc or the closest Monday or Friday. The check stub (remittance advice) should reflect which invoice numbers are being paid to that vendor, check date, check number, payor and payee. This will be kept by the vendor as a record.

4. Checks are then given to an authorized signor for approval and then given to someone, you or other AP clerk for mailing.

Answer 2

I think it really depends on how large a company it is. I work for a custom home builder and do all of its accounts payable. Basically its sorting invoices, coding them, data entry of each invoice, and eventually cutting checks for them. It takes a lot of organization and basic math skills, but its fairly easy to do. If its a larger company it is probably mostly data entry. You are going to be sitting in front of a computer so do be aware of that. And probably do some filing as well. So you need good computer skills, good basic math skills, and good organization skills. Good luck.