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.

Software Version: 2020.12.04 and newer

Key Definitions

This section identifies common terms used throughout this Functional Area. This is not intended to be an alphabetized "Glossary of Terms" but is organized in a logical sequence to group similar terms together. The goal is to ensure we use common language that provides context to baseline NorthScope concepts.

Term	Definition
ACH Payment	ACH (Automated Clearing House) is a network used for electronically moving money between bank accounts across the United States. It's run by an organization called Nacha (previously NACHA - National Automated Clearing House Association), and may also be referred to as the ACH network or ACH scheme.
Payment Term	Payment Terms identify the terms your company extends to your Customers and that your Vendors extend to you. Payment Terms are used to calculate aging and payment discounts.
Vendor Type	Vendor Types are used to classify Vendor Classes by functionality. In Accounts Payable, all Vendors are auto-assigned a Vendor Type of "Vendor". In Fisherman Accounting, accounts can be assigned a Vendor Type of either Fisherman, Tender, Fisherman & Tender, or Loan.
Tax Class	Tax Classes store all the Tax Details (individual taxes) used to calculate sales tax on Quick Sales, Fisherman Sales, and Tender Resale transactions. Although this property is visible for Vendors, it is not used.

Master Files

This section identifies each of the the Master Files used in this Functional Area along with an overview for each. Each Master File also has a link(s) to the related Page Help page(s) and all applicable User Guides.

Master File	Parent Folder	Overview	Related User Guides
Aging Periods	Configuration	Aging Periods define the method (e.g. Age by 'Document Date' or 'Due Date') and the individual time periods used on Aging Reports. Each Aging Period consist of: Period Name - e.g. Current Days from - e.g. 0 Days to - e.g. 15 The Days from for the next subsequent Aging Period is always (1+ [Days to]) from the previous period (e.g. 16). Areas to Review How these are used: Aging Reports & Building Payment Batches How often they are edited Document Date vs Due Date When aged by Document Date (Invoice Date), the invoice is categorized by the number of days since the Invoice Date. Most companies age their receivables by 'Document Date' (Invoice Date). When aged by Due Date, the invoice is categorized by the number of days past the due date (Invoice Date + [Payment Terms Due Days]). Most companies age their payables by 'Due Date'.
Vendor Class	Configuration	Vendor Classes are used to identify default values that will be applied to new Vendor accounts and to group Vendor accounts together for reporting purposes. Areas to Review How these are used - As defaults when setting up new Vendors (including Brokers that are paid thru AP). While not required, it is a good idea to separate them by function to make reporting, inquiring, and payments easier. Broker Carrier Vendor (these could even be further classified by payment priority e.g. Suppliers, Govt, etc) Warehouse Vendor Types Vendor Types are used to classify Vendor Classes by functionality. In Accounts Payable, all Vendors are auto-assigned a Vendor Type of "Vendor". In Fisherman Accounting, accounts can be assigned a Vendor Type of either Fisherman, Tender, Fisherman & Tender, or Loan. Attribute Classes are assigned to master files to control which Attributes are visible, and/or required, to records within the master file. For example, you may have attributes that are unique to Warehouses or Brokers that do not make sense for Carriers. Checkbook - not used for Vendor Types of AP Vendor - A dev item should be added to remove this for Vendor Types of "Vendor" Emma!!!! Currency - Not plugged into Purchasing - Should this be hidden for all Vendor Types of Vendor? Payment Terms identify the terms your company extends to your Customers and that your Vendors extend to you. Payment Terms are used to calculate aging and payment discounts. - No UI to configure this in NorthScope - how did that get missed Jake? Tax Classes store all the Tax Details (individual taxes) used to calculate sales tax on Quick Sales, Fisherman Sales, and Tender Resale transactions. - Should this be hidden for all Vendor Types of Vendor? Tax Type - If you plan on sending the Vendor a 1099 statement at the end of the year, this is used to specify the type. This is informational only and does not drive functionality. GL Accounts Accounts Payable - The GL Account that is assigned for the "Accounts Payable" Account Type, on the Accounts tab of the Vendor Record View and Vendor Class Record View. This is the account where accounts payable amounts are posted for the selected Vendor. Purchases - The GL Account that is assigned for the "Purchases" Account Type, on the Accounts tab of the Vendor Record View and Vendor Class Record View. The Purchase Account identifies the Expense Account that payable transactions post to. If assigned to a Vendor, this will default as the Purchase GL Account for new line items on AP Invoices, AP Credit Memos, and Purchase Orders. Cash - Not used- Should this be hidden for all Vendor Types of Vendor? Terms Discount Taken - The GL Account that is assigned for the "Terms Discount Taken" Account Type, on the Accounts tab of the Customer, Vendor, Fisherman, and Loan Record Views and the Customer Class, Vendor Class, and Fisherman Class Record Views. This is the account where payment discounts, entered during Payment Receipt applications and when building AP check batches, are posted to. Finance Charges - Not used for Vendor Types of Vendor. Should this be hidden for all Vendor Types of Vendor? Write Off - Not used for Vendor Types of Vendor. Should this be hidden for all Vendor Types of Vendor?	Vendor Class
Vendors	Setup	A Vendor is a company or person that sells goods or services to your company. They are used in Purchasing and on Brokerage Sales Programs. Areas to Review ID and Descriptions Vendor IDs are used as a short description and unique identifier for Vendor records. They can be changed at any time to any alphanumeric value. If you do not have an existing strategy for Vendor IDs the 3-3-2 method would be recommended. Vendor Names are used as a long description for Vendors. Check Name Vendor Class Defaults Attribute Classes are assigned to master files to control which Attributes are visible, and/or required, to records within the master file. Checkbook Payment Terms identify the terms your company extends to your Customers and that your Vendors extend to you. Payment Terms are used to calculate aging and payment discounts. Currency Tax Type - If you plan on sending the Vendor a 1099 statement at the end of the year, this is used to specify the 1099 statement box number where you are most likely to report amounts. This is informational only and does not drive functionality. Tax Classes store all the Tax Details (individual taxes) used to calculate sales tax on Quick Sales, Fisherman Sales, and Tender Resale transactions. Default Addresses 1099 Statement Payment Physical Other Properties 1099 Type If you plan on sending the Vendor a 1099 statement at the end of the year, this is used to specify the 1099 statement box number where you are most likely to report amounts. This is informational only and does not drive functionality. Vendor Accounts represent the account number the vendor has assigned to you. This is informational only and does not drive functionality. This is the Tax ID of the Vendor that is used on the 1099 statement. This is informational only and does not drive functionality. Tax Registration - Used to record the company's tax registration number, most commonly used for companies tracking Goods and Services Taxes (GST) or Value-Added Taxes (VAT). This is informational only and does not drive functionality. Addresses Contacts Attributes Accounts Accounts Payable - The GL Account that is assigned for the "Accounts Payable" Account Type, on the Accounts tab of the Vendor Record View and Vendor Class Record View. This is the account where accounts payable amounts are posted for the selected Vendor. Purchases - The GL Account that is assigned for the "Purchases" Account Type, on the Accounts tab of the Vendor Record View and Vendor Class Record View. The Purchase Account identifies the Expense Account that payable transactions post to. If assigned to a Vendor, this will default as the Purchase GL Account for new line items on AP Invoices, AP Credit Memos, and Purchase Orders.	Vendors
Vendor Addresses	Setup	What type of Addresses do we setup for Vendors 1099 Statement Payment Physical Adding new Vendor Addresses Key fields Payment Name Payment Description
Vendor ACH	Configuration	ACH (Automated Clearing House) is a network used for electronically moving money between bank accounts across the United States. It's run by an organization called Nacha (previously NACHA - National Automated Clearing House Association), and may also be referred to as the ACH network or ACH scheme. Areas to Review What is the process to start using ACH How do you configure Vendors for ACH How does ACH work in NorthScope
Preferences	Configuration	Preferences are used to set default values, enable features, and/or control system behavior within a Functional Area. Preference Values seldom changed after they are initially set unless an organization changes their operations and/or begins using different NorthScope Features. Review all Preferences

Transactions

This section identifies all the Transactions used in this functional area along with an overview and suggested training outline for each. Each Transaction also has a link(s) to the related Page Help page(s) and all applicable User Guides.

Transaction

Overview & Training Outline

Related User Guides

Purchase Orders

A Purchase Order (aka PO) is a document issued by a buyer committing to pay the seller for specific products or services to be delivered in the future. The advantage to the buyer is the ability to place an order without immediate payment. From the seller’s perspective, it reduces credit risk, since the buyer is obligated to pay once the products or services have been delivered. Each PO has a unique number associated with it that helps both buyer and seller track delivery and payment.

Areas to Review

Impacts Purchase Orders have on other areas of NorthScope:
1. General Ledger - No Impact
2. Vendor Balances - No Impact
3. Fishermen Balances - The Open PO's column of the Fisherman Balances page is updated for PO Lines distributed to Fishermen
4. Project Balances - No Impact
5. Item Balances - No impact
Why they are used and how they are issued
Key Fields
1. Expire Date
2. Type - Allow Single vs Multiple Invoices
3. PO Status
Adding Line Items
Distributing Line Items
Purchase Accounts
1. Defaulting the Purchase Account
2. What Accounts are included in the Lookup
3. When can the Purchase Account be edited
Closing/Opening Purchase Order

Invoices

An invoice is a time-stamped commercial document that itemizes and records a transaction between a buyer and a seller. If goods or services were purchased on credit, the invoice usually specifies the terms of the deal and provides information on the available methods of payment. In Purchasing, Invoices are used to record purchases you have made from your vendors and in Sales, they are used to record sales you have made to your customers.

Areas to Review

Describe the process that AP Invoices typically go through before they are physically entered into AP
Impacts AP Invoices have on have on other areas of NorthScope:
1. General Ledger - A Journal Entry is posted when the AP Invoice is Posted
2. Vendor Balances - Either the 'Posted Balance' or 'Open Transaction' columns are updated on the Vendor Balances page
3. Fishermen Balances - The Fisherman Balance is updated and the Open PO's column of the Fisherman Balances page is updated for AP Invoice Lines distributed to Fishermen
4. Project Balances - Project Balances are updated for AP Invoice Lines distributed to Projects
5. Item Balances - No impact
Source for AP Invoice Transactions: Purchasing & Brokerage
Loading from a PO
Key fields / Properties
1. Doc No
2. Doc Date
3. Status
4. Payment Terms
5. GL Date
6. Pmt./Apply Hold
Adding Line Items
Distributing Line Items
Purchase Accounts
1. Defaulting the Purchase Account
2. What Accounts are included in the Lookup
3. When can the Purchase Account be edited
PaperVision integration

Invoices

Voiding Invoices

Credit Memos

A credit memo is a posting transaction which can be applied to a customer or vendor invoice as a payment or reduction. Credit memos are used to offset an existing customer or vendor balance.

Areas to Review

Describe the process that Credit Memos typically go through before they are physically entered into AP
Impacts AP Credit memos have on have on other areas of NorthScope:
1. General Ledger - A Journal Entry is posted when the Credit Memo is Posted
2. Vendor Balances - Either the 'Posted Balance' or 'Open Transaction' columns are updated on the Vendor Balances page
3. Fishermen Balances - The Fisherman Balance is updated and the Open PO's column of the Fisherman Balances page is updated for AP Invoice Lines distributed to Fishermen
4. Project Balances - Project Balances are updated for Credit Memo Lines distributed to Projects
5. Item Balances - No impact
Source for AP Credit Memos: Purchasing & Brokerage
Entering against a PO
Key fields / Properties
1. Doc No
2. Doc Date
3. Status
4. Payment Terms - N/A
5. GL Date
6. Pmt./Apply Hold
Adding Line Items
Distributing Line Items
Purchase Accounts
1. Defaulting the Purchase Account
2. What Accounts are included in the Lookup
3. When can the Purchase Account be edited
PaperVision integration

Credit Memos

Voiding Credit memos

Routines

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

Routine	Overview	Related Page Help	Related 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 Why these are used Quick Checks Manually written checks Entering one or more Processing Payments Payment Type Payee, Description, and address information Printing Checks / Re-printing checks Printing ACH Remittance Post / Void batch 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 How a Payment Batch is different from a Manual Payment Why, and how often these are used Key fields Due Date as of Discount Date as of Vendor Class One Payment Per - Vendor or Document Apply Expired Discounts Include Transactions Invoices Only Invoices & Credit Memos Invoices & Checks (manual) Invoices, Credit Memos, and Checks (manual) Building a Batch and Appending to a Batch How batches work Transactions default to be paid Removing transactions - what it means to remove a transaction Editing Amounts - Amount to pay Next steps Print Reports Process Payments Print Payments & ACH Remittance Post / Void batch 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 Overview of posting Credit Memos and/or manual Payments What happens when a Payment or Credit Memo is applied The transactions are marked as fully settled (once they are fully settled) Nothing happens to the General Ledger How to know if anything needs to be applied How to apply transactions From the Vendor Balance page, click the Apply Payables icon in the Header Toolbar 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 How to void a Payment Select the Payment in the Checkbook Register Inquiry and click the Void icon Select the Payment in the Vendor History Inquiry and click the Void icon What happens when a Payment is voided: All AP Invoices that had been applied to the Payment are unapplied They are no longer marked as Fully Settled so they can be part of a new check batch A reversing Journal is created and the Payment is Voided 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 How to un-apply Credit Memos/Payments from Invoices. Open the Transaction Application Details (open by clicking the 'View Applications' icon from the AP Invoice/Credit memo Record View) Select the record, and click the Unapply icon in the Header Toolbar What happens when a document is unapplied: The Vendor Balance does not change The GL Balance does not change 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 How to void an AP Invoice or Credit Memo Select the transaction in the 'Invoice History' inquiry or the 'Vendor History Inquiry' and click the Void icon What happens when an AP Invoice or Credit Memo is voided: The original transaction Status is updated to 'Replaced' 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. The Vendor Balance is updated Note: This process uses the Company Preference: 'Days back the applications can be unapplied'.

Inquiries

An Inquiry is a List View of historical transactional data that is used for ad-hoc analysis. Once a record has been found, users can open it and/or use it to drill down to more details. Inquiries are most commonly used to show the historical data associated with a List View (e.g. Sales Orders, Order Items, AP Invoices, Invoice Lines). Inquiries allow users to manipulate search parameters, sorting, grouping, and column sequence. Inquiries can be exported to Excel. This section identifies each of the Inquiries used throughout this Functional Area, listed by Inquiry Type, with an overview for each.

Inquiry Type	Inquiry Name	Overview
Balances	Vendor 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 History	Invoice Applications	An inquiry that shows each AP Invoice and the Payment(s) and/or Credit Memo(s) that cleared it.
Application History	Payment Applications	An inquiry that shows each AP Payment and Credit Memo and the AP Invoice(s) they cleared.
Invoice/Credit Memo History	Invoice History	An 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/Credit Memo History	Invoice Line History	An 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 History	Purchase Order History	An 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 History	Purchase Order Lines History	An 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 History	Vendor History Inquiry	An 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

Reports contain data that has been formatted for a specific purpose. For some reports, users are able to manipulate selection criteria while others print just by selecting records. Users are not able to change the actual layout of the page. 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 Group	Launches From	Report Type	Report Display Name	Overview
Check / Check Batch	Direct Print	Check	Check - AP	This is the report that generates the Check that is given to Vendors for payment.
	Print Dialog	Transaction Review	Check Edit	A report that is used to show a summary of all the payments that would be made if the entire Check Batch was processed.
	Print Dialog	Transaction Review	Check Edit Detail	A 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 Page	Transaction Analysis	Check Register
Purchase Order	Print Dialog	Transaction	Purchase Order	A 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 End	Reports Page	Transaction Review	Vendor 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.	Page	Navigation Path	Blocked By	Required	Comment
1.	Vendor Class	Purchasing → Configuration → Vendor Class		Yes	Only required if the default values will not work
2.	Vendors	Purchasing → Setup→ Vendors	Vendor Class	Yes
3.	Vendor Addresses	Purchasing → Setup→ Vendor Addresses	Vendors	Yes
4.	Vendor ACH	Purchasing → Configuration → Vendor ACH	Vendors	No	Only required to create ACH Payments
5.	Aging Periods	Purchasing → Configuration → Aging Periods		Yes	Only required if the default values will not work
6.	Preferences	Purchasing → Configuration → Preferences		Yes	Cannot be completed until at least one Checkbook has been setup

Purchasing: Training Guide

Key Definitions

Master Files

Transactions

Routines

Inquiries

Reports

Configuration Sequence