{"id":5238,"date":"2015-01-23T07:28:26","date_gmt":"2015-01-23T05:28:26","guid":{"rendered":"http:\/\/www.officetodo.com\/public\/?p=5238"},"modified":"2015-01-18T07:29:10","modified_gmt":"2015-01-18T05:29:10","slug":"reconizing-payments-to-suppliers","status":"publish","type":"post","link":"http:\/\/www.officetodo.com\/public\/reconizing-payments-to-suppliers\/","title":{"rendered":"Reconizing payments to suppliers"},"content":{"rendered":"<p>Recognizing payables to suppliers is crucial in ones\u2019 business. It\u2019s about understanding what you owe to someone else and trust me when I say that they will remind you of it. Regardless however it\u2019s never a good sign if they have to remind you of the payment due and it doesn\u2019t show in good light, never.\u00a0<!--more--><\/p>\n<p>So hence recognizing a supplier payable is not just about timeliness but also about being correct in your details, i.e. payment dates.<\/p>\n<p>Say that you received a supplier invoice for advertising expenses with it\u2019s amount 10,000 and it\u2019s due date is in two weeks. You\u2019d make the following accounting entry at first:<\/p>\n<table width=\"641\">\n<tbody>\n<tr>\n<td width=\"38\"><strong>#<\/strong><\/td>\n<td width=\"113\"><strong>Debit-Credit<\/strong><\/td>\n<td width=\"330\"><strong>Account name<\/strong><\/td>\n<td width=\"160\"><strong>Amount\u00a0<\/strong><\/td>\n<\/tr>\n<tr>\n<td width=\"38\"><em>1<\/em><\/td>\n<td width=\"113\"><em>Debit<\/em><\/td>\n<td width=\"330\"><em>Advertising expense<\/em><\/td>\n<td width=\"160\"><em>10,000<\/em><\/td>\n<\/tr>\n<tr>\n<td width=\"38\"><em>\u00a0<\/em><\/td>\n<td width=\"113\"><em>Credit<\/em><\/td>\n<td width=\"330\"><em>Payable to suppliers<\/em><\/td>\n<td width=\"160\"><em>10,000<\/em><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>In two weeks you\u2019d recognize a payment of this invoices with the following entry:<\/p>\n<table width=\"641\">\n<tbody>\n<tr>\n<td width=\"38\"><strong>#<\/strong><\/td>\n<td width=\"113\"><strong>Debit-Credit<\/strong><\/td>\n<td width=\"330\"><strong>Account name<\/strong><\/td>\n<td width=\"160\"><strong>Amount\u00a0<\/strong><\/td>\n<\/tr>\n<tr>\n<td width=\"38\"><em>1<\/em><\/td>\n<td width=\"113\"><em>Debit<\/em><\/td>\n<td width=\"330\"><em>Payable to suppliers<\/em><\/td>\n<td width=\"160\"><em>10,000<\/em><\/td>\n<\/tr>\n<tr>\n<td width=\"38\"><em>\u00a0<\/em><\/td>\n<td width=\"113\"><em>Credit<\/em><\/td>\n<td width=\"330\"><em>Cash and cash equivalent account<\/em><\/td>\n<td width=\"160\"><em>10,000<\/em><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>With this you\u2019ve recognized a payment to your supplier and ensure that you\u2019ve also kept the deadline for asked payment. I would encourage you to work out a system so that you always keep track on approaching deadlines and that you ensure you can adhere to the deadlines.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Recognizing payables to suppliers is crucial in ones\u2019 business. It\u2019s about understanding what you owe to someone else and trust me when I say that they will remind you of it. Regardless however it\u2019s never a good sign if they have to remind you of the payment due and it doesn\u2019t show in good light, [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[80],"tags":[],"class_list":["post-5238","post","type-post","status-publish","format-standard","hentry","category-2-10-purchases-and-payables"],"aioseo_notices":[],"_links":{"self":[{"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts\/5238","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/comments?post=5238"}],"version-history":[{"count":1,"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts\/5238\/revisions"}],"predecessor-version":[{"id":5239,"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/posts\/5238\/revisions\/5239"}],"wp:attachment":[{"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/media?parent=5238"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/categories?post=5238"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.officetodo.com\/public\/wp-json\/wp\/v2\/tags?post=5238"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}