Value-Added Tax (VAT) is a tax on consumer spending. It is collected by VAT-registered traders on their supplies of goods and services effected within the State, for consideration, to their customers
Accounts Payable process starts with Purchasing and ends payments to Vendors. Workflow is: Purchasing team recieve requests-Initiate for quotations from vendors-Purchasing team creates Purchase Order, once the quotation is finalized and obtained all required approvals-PO copy would be sent to Vendor-Vendor will raise invoice and submit to accounts payable-Accounts Payable key invoice into ERP-Once the invoice fall on due invoice will get paid.
As this process start with Procurement (P) and ends with Payments (P), hence this process also named as to P2P.
Cash A/c- Real A/c- Debit what comes in & credit what goes out.
Cash withdrawn mean cash comes in so it will be debited
Bank A/C- personal A/C - Debit is receiver & Credit is giver
Bank is giver amount so it will be credited
Cr. Bank A/C
When we have received amount from bank that is debit to banker.
When we creating the invoice in 3-way matching invoice price and po price receipt price should be match.
► What is the tolerance limit with respect to invoice processing. ( how much currency)?
► What is "End to End" AP process?
► What is Down payment. How it is knocked off?
► What is payment order ? Why it is useful to business?
► What is duplicate posting? How will you identify whether it is duplicate in SAP?
► What is accrual concept? How month end gets closed smoother?
► Explain AP concept from Supplier providing invoice till payment? (Scanning till payment)?
► If an invoice is paid twice, what does AP team do?
► What is the advantage of using SAP?
► What is Dashboard in SAP?
► Explain Accounts payable process and its impact to business?
► What is PO invoice, Non-PO invoice, Intercompany invoice. Explain the difference & list some examples?
► What is invoice processing ? What are the mandatory fields to be entered while processing invoices?
► What is GSM and GPM ? Give its abbreviation and explain the concept ?
► Which version you used in SAP & BPopen. Explain its features?
► What is 3-way matching system in AP ?
► What is Subsequent debit, Subsequent credit & Credit memo?
► Why credit memo is used and under what circumstances it is applicable?
► What is SLA & KPI in BPO terms ? Explain its importance to AP?
To whom we will pay: Address, Bank Account Details, If tax effects or not(Service Tax, Vat & Reverse Service Tax) & TDS , Goods / service description etc.
For Services, the Po is not required. It is based on Agreement. In the Non Po, Type of Services, Terms and Conditions.