Articles and updates on accounts payable automation, invoice processing and finance operations.
How general ledger reconciliation works, a worked AP example, the accounts that break most often, and a close checklist a controller can hand to the team.
Read articleWhat a chart of accounts is, how to number it, a full example for a US business, and how to keep it clean once AP starts coding invoices against it every day.
Read articleSOX compliance explained: what Sarbanes Oxley Section 404 requires, which accounts payable controls auditors test first, and a checklist for controllers.
Read articleDelegation of authority matrix explained: how to set spend approval limits by role and dollar threshold, with an example DOA policy table.
Read articleCash conversion cycle formula explained with a worked example: DIO plus DSO minus DPO, what a negative cycle means, and how payment terms move the number.
Read articleA vendor credit is money a supplier owes you back for a return, overcharge, or rebate. See how to record a vendor credit memo and apply it to the next bill.
Read articleA cash disbursement journal records every payment your business makes by check, ACH, or wire. See the standard columns, a worked example, and the entries.
Read articleAccrued liabilities are costs you incurred but have not yet paid or been billed for. See examples, the journal entry, and how they differ from accounts payable.
Read articleSegregation of duties splits the AP tasks that let one person both create a payee and pay them. The five duties, the risky pairs, and controls for small teams.
Read articlePurchase price variance is the gap between what you agreed to pay and what you were billed. Here is the formula, a worked example, and how AP catches it.
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