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The Purchasing functional area is used to store all Vendor data and enter all purchasing transactions. The main tasks performed include maintaining vendor data, importing and/or entering AP Invoices, and building AP check and payment batches to pay vendors. The Purchasing functional area integrates with the Financial, Fisherman Accounting, Grower Accounting, and Sales Program functional areas. 

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RoutineOverviewRelated Page HelpRelated User Guides

Manual Payments

aka Quick Checks

A manual payment  / quick check is a payment issued to a Vendor that did not originate from a Payment Batch. 

 Areas to Review

  1. Why these are used 
    1. Quick Checks
    2. Manually written checks
  2. Entering one or more
  3. Processing Payments
    1.  Payment Type
    2. Payee, Description, and address information
  4. Printing Checks / Re-printing checks
  5. Printing ACH Remittance
  6. Post / Void batch
  7. Process ACH - if applicable


Build Payment Batch

A Payment Batch is a process used to gather posted payable transactions, that have not been fully settled, and select/un-select transactions to be paid/applied resulting in a summarized list of Vendor Payments. 

Areas to Review

  1. How a Payment Batch is different from a Manual Payment
  2. Why, and how often these are used
  3. Key fields
    1. Due Date as of
    2. Discount Date as of
    3. Vendor Class
    4. One Payment Per - Vendor or Document 
    5. Apply Expired Discounts
    6. Include Transactions
      1. Invoices Only
      2. Invoices & Credit Memos
      3. Invoices & Checks (manual)
      4. Invoices, Credit Memos, and Checks (manual)
  4. Building a Batch and Appending to a Batch
  5. How batches work
    1. Transactions default to be paid
    2. Removing transactions - what it means to remove a transaction
    3. Editing Amounts - Amount to pay
  6. Next steps
    1. Print Reports
    2. Process Payments
    3. Print Payments & ACH Remittance
    4. Post / Void batch
    5. Process ACH - if applicable


Apply Payable Documents

Credit memos and manual payments, that have not been included on a Check Batch, must be manually applied to AP Invoices. 

Areas to Review

  1. Overview of posting Credit Memos and/or manual Payments
  2. What happens when a Payment or Credit Memo is applied
    1. The transactions are marked as fully settled (once they are fully settled) 
    2. Nothing happens to the General Ledger 
  3. How to know if anything needs to be applied
  4. How to apply transactions
    1. From the Vendor Balance page, click the Apply Payables icon in the Header Toolbar 
  5. Describe what happens if they are never applied


Voiding Payments

If you have posted a Payment that will never clear the bank, you will need to void the payment. This can happen for several reasons such as the payment was lost in the mail, the payment was never made, once you made the payment you realized it was not correct, etc. 

Areas to Review

  1. How to void a Payment
    1. Select the Payment in the Checkbook Register Inquiry and click the Void icon
    2. Select the Payment in the Vendor History Inquiry and click the Void icon
  2. What happens when a Payment is voided:
    1. All AP Invoices that had been applied to the Payment are unapplied
      1. They are no longer marked as Fully Settled so they can be part of a new check batch
    2. A reversing Journal is created and the Payment is Voided
    3. The Vendor Balance is updated 

Note: Reconciled Payments cannot be voided



Un-apply Payable Documents

In some instances a Payment or Credit Memo may have been applied to the wrong Invoice. When this occurs the documents must be unapplied. 

Areas to Review

  1. How to un-apply Credit Memos/Payments from Invoices. 
    1. Open the Transaction Application Details (open by clicking the 'View Applications' icon from the AP Invoice/Credit memo Record View)
    2. Select the record, and click the Unapply icon in the Header Toolbar
  2. What happens when a document is unapplied:
    1. The Vendor Balance does not change
    2. The GL Balance does not change
    3. The Unpaid Invoices, Unapplied Payments, and/or Unapplied Credits totals on the Vendor Balance page are updated.

Note: This process uses the Company Preference: 'Days back the applications can be unapplied'.



Voiding Payable Documents

AP Invoices & Credit Memos

If you have posted an AP Invoice or Credit Memo that contains errors, you can void the transaction. If an AP Invoice or Credit memo has been applied, the applications must be removed before proceeding.

Areas to Review

  1. How to void an AP Invoice or Credit Memo 
    1. Select the transaction in the 'Invoice History' inquiry or the 'Vendor History Inquiry' and click the Void icon
  2. What happens when an AP Invoice or Credit Memo is voided:
    1. The original transaction Status is updated to 'Replaced'
    2. A new version 2 transaction is created, with a Status of 'Void', using the Void Date as the GL Date, for $0.00, that contains a Journal Entry that is the opposite of the original transaction's journal entry.
    3. The Vendor Balance is updated

Note: This process uses the Company Preference: 'Days back the applications can be unapplied'.



Inquiries

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Def - Inquiry
Def - Inquiry
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 This section identifies each of the Inquiries used throughout this Functional Area, listed by Inquiry Type, with an overview for each.

Inquiry TypeInquiry NameOverview
BalancesVendor Balances

An inquiry that provides a snapshot view of various balances across all Vendors. This inquiry contains rolled up balances, by Vendor, for:

  • Posted Balance - the sum of the open (not fully settled) balances for all the posted transactions.
    • [Posted Balance] = [Unpaid Invoices] + [Unapplied Payments] + [Unapplied Credits]
  • Unpaid Invoices - the sum of the open (not fully settled) balances for all the posted AP Invoices.
  • Unapplied Payments - the sum of the open (not fully settled) balances for all the posted Manual Payments.
  • Unapplied Credits - the sum of the open (not fully settled) balances for all the posted Credit Memos.
  • Open Transactions - the sum of the unposted transactions
  • Net Balance - [Posted Balance] + [Open Transactions]
  • On-Hold - the sum of the posted transaction that are on payment hold.
Application HistoryInvoice ApplicationsAn inquiry that shows each AP Invoice and the Payment(s) and/or Credit Memo(s) that cleared it.
Payment ApplicationsAn inquiry that shows each AP Payment and Credit Memo and the AP Invoice(s) they cleared. 
Invoice/Credit Memo HistoryInvoice HistoryAn inquiry that contains a list of all the AP Invoices & Credit Memos that have been saved in the database. This includes all transactions in a Status of New, Approved, Ready to Post, Posted, Void, Deleted, and Replaced.
Invoice Line HistoryAn inquiry that contains a list of all the line items on all the AP Invoices & Credit Memos that have been saved in the database. This includes all transactions in a Status of New, Approved, Ready to Post, Posted, Void, Deleted, and Replaced.
Purchase Order HistoryPurchase Order HistoryAn inquiry that contains a list of all the Purchase Orders that have been saved in the database. This includes all 'Open' and 'Closed' Purchase Orders.
Purchase Order Lines HistoryAn inquiry that contains a list of all the line items on all the Purchase Orders that have been saved in the database. This includes all 'Open' and 'Closed' Purchase Orders.
Transaction HistoryVendor History InquiryAn inquiry that contains a list of all the AP Invoices, Credit Memos, and Payments that have been saved in the database. This includes all transactions that are Open, Posted, Replaced, or have been Voided.

Reports

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Def - Report
Def - Report
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 This section identifies each of the Reports that are shipped in this Functional Area. Reports are grouped by Report Type and include the Report Name and the Display Name as well as an overview for each report.

Report GroupLaunches FromReport TypeReport Display NameOverview
Check / Check BatchDirect PrintCheckCheck - APThis is the report that generates the Check that is given to Vendors for payment.
Print DialogTransaction ReviewCheck EditA report that is used to show a summary of all the payments that would be made if the entire Check Batch was processed.
Transaction ReviewCheck Edit DetailA report that is used to show a list of all the AP Vendors, along with the invoices that are being paid, if the entire Check Batch was processed.
Reports PageTransaction AnalysisCheck Register
Purchase OrderPrint DialogTransactionPurchase OrderA report that shows the details of the Purchase Order. This is often sent to Vendors, and the PO # is used as proof that you have authorized a purchase. In some companies, payments will not be issues without the Vendor providing a valid PO #.
Month EndReports PageTransaction ReviewVendor Aging Detail

Configuration Sequence

This section identifies a logical sequence for configuring this Functional Area. This is not intended to be a detailed project plan, but rather a simple guide for what need to be configured.

Seq.PageNavigation PathUser GuidesBlocked ByRequiredComment
1.Vendor ClassPurchasing → Configuration → Vendor Class

YesOnly required if the default values will not work
2.VendorsPurchasing → Setup→ Vendors
Vendor ClassYes
3.Vendor AddressesPurchasing → Setup→ Vendor Addresses
VendorsYes
4.Vendor ACHPurchasing → Configuration → Vendor ACH
VendorsNoOnly required to create ACH Payments
5.Aging PeriodsPurchasing → Configuration → Aging Periods

YesOnly required if the default values will not work
6.PreferencesPurchasing → Configuration → Preferences

YesCannot be completed until at least one Checkbook has been setup