Sage MAS 90 and 200 ERP Setting Up Accounts Payable

Sage MAS 90 and 200 ERPSetting Up Accounts Payable

CERTIFIED STUDENT CURRICULUMSAGE UNIVERSITY

Curriculum Version 13.0 MS9SAPS13

NOTICEThis document and the Sage MAS 90 and 200 software may be used only in accordance with the accompanying Sage MAS 900 and 200 End User License Agreement. You may not use, copy, modify, or transfer the Sage MAS 90 and 200 software or this documentation except as expressly provided in the license agreement.

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03/2010

Sage MAS 90 and 200 Setting Up Accounts Payable

Certified Student Course Curriculum - Version 13.0 Page iiiCopyright © 2010 Sage Software, Inc. All rights reserved.

Contents

Welcome and Introduction..................................................... 1

Integration.............................................................................. 3

The Company ........................................................................ 4

Setup and Defining Parameters ............................................. 5

What You Need ..................................................................... 6

Accounts Payable Options..................................................... 8

Divisions.............................................................................. 14

Bank Code Maintenance...................................................... 15

Terms Code Maintenance.................................................... 16

Sales Tax ............................................................................. 17

Memo Manager Maintenance.............................................. 20

Converting from Another Accounts Payable System.......... 23

Linking Accounts Payable to Accounts Receivable............ 24

Lab....................................................................................... 26

Challenge Questions.............................................................. 27

Summary................................................................................ 28

Appendix A – Challenge Answers ....................................... 30

Appendix B – Accounts Payable Setup Wizard ................. 31


Page iv Certified Student Course Curriculum - Version 13.0Copyright © 2010 Sage Software, Inc. All rights reserved.

Certified Student Course Curriculum - Version 13.0 Page 1Copyright © 2010 Sage Software, Inc. All rights reserved.

Lesson 1


Welcome and Introduction10

Welcome to the Setting up Accounts Payable training class. This course is intended for individuals responsible for setting up and maintaining global settings for Accounts Payable.

This course is divided into discussions of concepts, activities, review, and a lab. The curriculum is designed to be taught by a Sage Certified Trainer and is not intended for use as a self study guide.

After completing the course, you will have an understanding of the steps necessary for setting up Accounts Payable and how the decisions made during setup affect processing in this module.

The curriculum is intended to help you meet the following objectives:

• Learn how to define parameters for how Accounts Payable operates

• Learn how to create divisions, bank codes, and terms codes

• Learn how to create and maintain sales tax information

Note: Information in this curriculum pertains to Sage MAS 90 and 200 ERP andSage MAS 90 and 200 Extended Enterprise Suite. Although these programs have a common architecture, some features vary depending on the product implemented. This training curriculum focuses on the features available in Sage MAS 90.


Page 2 Certified Student Course Curriculum - Version 13.0Copyright © 2010 Sage Software, Inc. All rights reserved.

Welcome and Introduction (continued)0

How to Use This CurriculumThe following table describes the conventions used in this curriculum.

Obtaining the Software Requirements and Case Study DataThis curriculum was developed for use with the Sage MAS 90 software. You can view the software requirements and download the case study data files used for activities and labs in this class from the Sage University website. To view the software requirements and obtain the case study data files, do the following:

1. Go to www.SageU.com.

2. Select Sage MAS 90 or Sage MAS 200 as the product line.

3. Click the Student Resources link.

4. Follow the instructions on the Sage MAS 90 and 200 Case Study Downloads page.

Convention Explanation

Step numbers versus activity numbers

Step numbers are not part of an activity and are intended to provide you with the steps typically used to complete a task. Activity numbers appear in bold and are completed in class.

Italic font in an activity Items that are part of an activity and appear in an italic font indicate you need to select a task or perform a specific action to complete the step (for example, click OK).

Courier font in an activity

Items that are part of an activity and appear in a courier font indicate information you should enter (for example, at the Customer No. field, enter 01-ABS).

In a bulleted list, the key bullet style emphasizes key information you should know regarding the topic discussed.



Integration0

Accounts Payable can operate on a stand-alone basis or it can integrate with other modules. When integrated with the following modules, common information is shared.

General Ledger

Accounts Payable posts all journal entries to General Ledger following the printing/previewing and updating of the Daily Transaction Register.

Common Information

Common Information provides a common access point for tasks shared by Accounts Payable but the data is maintained by company.

Bank Reconciliation

System-generated or manually entered checks post to Bank Reconciliation from Accounts Payable during the check register update process.

Purchase Order

Purchase Order is used in conjunction with Accounts Payable and Inventory Management to integrate the purchasing, inventory, and payable functions. You can record Accounts Payable invoices in Purchase Order when receiving items.

Inventory Management

If Accounts Payable and Inventory Management are activated for a company, these two modules are automatically integrated. You can assign multiple vendors to each inventory item. The vendor information is used to sort all inventory reports.

Job Cost

When integrating with Job Cost, the Invoice Data Entry and Manual Check Entry tasks request job number and cost code distribution information for each invoice entered.



The Company0

Superior Bicycle, Inc. (SB1) is a wholesale distributor of bicycles and accessories. They use Accounts Payable to track vendor purchases and payments.

• Some vendors receive 1099s

• Payables post to General Ledger based on the company’s two locations: North and South

ActivityIf you are not currently logged on to Sage MAS 90 and the SB1 company, log on to the program and the company now.

1. From the Sage Software program group, select Sage MAS 90 > MAS 90 Desktop.

2. Enter RMD as the user and click OK.

3. If the Status Bar does not display the company as SB1, click the company name and select SB1 in the MAS 90 Select Company window.

4. If the Status Bar does not display the module as Accounts Payable, click the module name and select Accounts Payable in the Switch to Module window.

5. Verify the accounting date for Accounts Payable is 04/30/10. If you need to change this date, click the date on the Status Bar to access the MAS 90 Change Accounting Date task.


Lesson 2


Setup and Defining Parameters20

In this lesson, the steps necessary for setting up Accounts Payable are discussed. Even though you may have already set up Accounts Payable, it is important to understand the steps taken at that time in case you need to make modifications to how Accounts Payable is functioning or to create a new company.

The topics in this lesson include:

• What You Need

• Accounts Payable Options

• Divisions

• Bank Code Maintenance

• Terms Code Maintenance

• Sales Tax

• Memo Manager Maintenance

• Converting from Another Accounts Payable System

• Linking Accounts Payable to Accounts Receivable



What You Need0

Before using Accounts Payable for a new company, you must complete the Accounts Payable system startup process. Before beginning the system startup process, you should have the following:

• Your general ledger chart of accounts

• A list of states, counties, and local areas to which you report sales tax and their tax rates

• Your bank account number(s) for the checking account(s) used by Accounts Payable

• A list of standard payment terms offered by your vendors

• A list of vendors, including addresses and phone numbers

• All unpaid invoices at the time of installation

Accounts Payable Setup WizardThe Accounts Payable Setup Wizard automatically advances you through specific setup options including defining how to post invoices and checks, define the sales tax and 1099 payments, determine how to post invoices and checks, and define the current period and fiscal year. These options allow you to customize the system for your company. Specific setup tasks are also available on the Accounts Payable Setup menu after the wizard is completed.

Divisions, determine how to post invoices and checks, and to define the sales tax and 1099 payments

The diagram on the following page illustrates these steps.

Note: The Accounts Payable Setup Wizard is not used in class because Accounts Payable is already set up. Refer to Appendix B for information on using the Accounts Payable Setup Wizard.



What You Need (continued)0

Steps for Setting Up Accounts PayableThe figure below illustrates the steps taken when setting up Accounts Payable. These steps are listed in the order you should perform them.

Figure 1

EnterCompany

Code

EnterAccounting

Date

Complete the Accounts

Payable Setup Wizard

DivisionMaintenance

Bank Code Maintenance*

Terms Code Maintenance

Sales Tax Code Maintenance**

Sales Tax Schedule

Maintenance**

Sales Tax Account

Maintenance*

Sales Tax Class Maintenance**

*Tasks are also available on the Common Information Main menu

**Tasks are located on the Library Master Setup menu

Define Accounts Payable Options

VendorMaintenance

Enter Open Invoices

Set Up Repetitive Invoice

Templates

Daily Processing

Memo Manager Maintenance*

Print Invoice Register and

Update



Accounts Payable Options0

Use Accounts Payable Options on the Setup menu to customize Accounts Payable to fit your company’s needs. The Accounts Payable Options window contains five tabs: Main, Additional, Entry, Printing, and History.

Main TabUse the Main tab to define key information for such areas as divisions, current period and fiscal year, sales tax, 1099 reporting, and integration.

Figure 2

• Select the Sales Tax Reporting check box to track sales tax history information in Accounts Payable and perform sales tax calculations in Accounts Payable and Purchase Order.

- If cleared, the remaining sales tax related fields and all references to sales tax reporting are disabled in Vendor Maintenance and Invoice Data Entry.

• Select the Display Invoices with Zero Balance check box to automatically display invoices with zero balances on the Invoices tab in Vendor Maintenance.

- If cleared, invoices with zero balance are excluded from displaying in Vendor Maintenance.

• Select the 1099 Reporting check box if your company prints 1099 forms for non-employees or for individuals receiving dividends or interest payments. The 1099 calendar year on your system does not increment until 1099 forms are printed.

- Clear this check box if your company does not print 1099 forms.

Determines how invoices display.

Determines how open invoices are tracked and reported.

Select which modules to integrate withAccounts Payable.

Determines if salestax is calculated andreported in AccountsPayable.



Accounts Payable Options (continued)0

Additional TabUse the Additional tab to define how to post to General Ledger, how many days to retain paid invoices, and the format to use for posting documents to General Ledgers.

Figure 3

• At the Post to General Ledger section, you can select to post transactions for invoices, cash and expense, and checks in detail or summary to General Ledger.

• At the Days to Retain Paid Invoices field, enter the number of days to retain paid invoices.

- Invoices paid on or before the number of days entered are purged automatically during period-end processing.

You can retain paid invoices for up to 999 days.

• At the Apply Changes to Remit to Address field, select to allow changes to the remit to address when one or more of the address fields are modified in Vendor Maintenance.




Entry TabUse the Entry Tab to determine if batch processing is used in Invoice Data Entry and Manual Check Entry.

Figure 4

Enabling batch processing for Invoice Data Entry and Manual Check Entry allows you to create batches of transactions for updating purposes.

- Batches can post one at a time, allowing different posting dates, or all together using the same posting date for all batches.

• Select the Calculate Sales Tax in A/P Data Entry check box to calculate sales tax in Accounts Payable data entry tasks. This field is available only if the Sales Tax Reporting check box is selected.

• Select the Expense Freight Separately check box to post the freight amount entered during data entry to the Freight Expense account entered in Division Maintenance. Clear the check box to post the freight amount to the vendor’s general ledger expense account.

• Select the Increment Next Check No. When Changed During Printing check box to increment the next check number in Bank Code Maintenance from the last number used, if the check number in Manual Check Entry was changed during a quick-print process.

• Select the Display Warning When Past Discount Due Date check box to display a warning message if you select an invoice with a past discount due date in Check Maintenance and Manual Check Entry.

Enter adefault bankcode to usein ManualCheck Entry,CheckPrinting, andPaymentHistoryInquiry.




Printing TabUse the Printing Tab to determine how journals print and if you are required to print invoices and statements.

Figure 5

• Select the Sort Invoice Registers by Vendor Name check box to sort information on the Invoice Payment Selection Listing based on the vendor name and not the vendor ID.

- This field is only available if Accounts Payable is not integrated with Job Cost.

• At the Print G/L Account Description on Registers field you can select to default the full general ledger account description, no general ledger account description, or only the first 30 characters of the general ledger account description on the registers.

- This field applies to the Invoice Register, Manual Check Register, and Check Register.

The Print G/L Account Description on Register field does not apply to the Accounts Payable Recap by Division registers. The Recap registers will always print the full general ledger account description.

• Select the Print Tax Detail on Registers check box to control whether the total sales tax amount and the sales tax amount for each tax code prints on the Invoice Register and Manual Check Register.

This field is enabledif the Sales TaxReporting andCalculate Sales Taxin A/P Data Entrycheck boxes areselected.




• Select the Print Tax Journal in Detail check box to print the Tax Journal Detail Report in addition to the Tax Journal Summary, which prints following the Invoice Register and Manual Check Register.

- The Tax Journal Detail Report provides tax detail by tax code and by source document.

- The Tax Journal Summary report provides the total by tax code only.

History TabUse the History tab to determine how long to retain historical information for vendors and transactions.

Figure 6

• Select the Include Sales Tax and Freight in Vendor Purchase History check box to include sales tax and freight posted in Accounts Payable or Purchase Order to the Vendor Inquiry Period to Date and Year to Date purchase history fields. Clear the check box if you do not want to include sales tax and freight posted.

• At the Years to Retain Vendor History field, you can retain vendor purchases for a minimum of two years and a maximum of 99 years.

• At the Years to Retain 1099 Payment History field, you can select the number of calendar years to retain 1099 payment history; allowing you to maintain information for multiple years.

- You can retain a minimum of two years and a maximum of 99 years.

If selected, you canretain comments ininvoice history.

Determines if changesto the vendor inVendor Maintenanceare tracked. Theoptions availableinclude: None, All,Deletions, Additions,and Changes.

Determineshow long toretain vendorhistory and1099 paymenthistory.




Activity1. From the Setup menu, select Accounts Payable Options.

2. Click the Additional tab.

3. Select the Check Register in Detail check box and select Yes at the Apply Changes to Remit to Address field.

4. Click the Entry tab and select the following options:

• The Enable check box for Invoice Data Entry

• The Increment Next Check No. When Changed During Printing check box

5. Click the Printing tab.

6. Select the Sort Invoice Registers by Vendor Name and Print Tax Journal in Detail check boxes.

7. Click the History tab.

8. At the Vendor Changes to Track field, select All.

9. Enter 5 as the number of years to retain vendor and 1099 payment history.

10. Click Accept to save the information and close the window.



Divisions0

Divisions can stand for such things as branches and profit centers within a company and are used to classify and group vendors and payable transactions for reporting purposes. The system uses division information when determining general ledger postings.

Division MaintenanceUse Division Maintenance on the Setup menu to define divisions. Every company must define at least one division, even if the Accounts Payable Divisions check box is cleared in Accounts Payable Options.

Figure 7

• Assign a number from 00 to 99 as the division number.

• You must assign each vendor to a valid division code if you selected the Accounts Payable Divisions check box in Accounts Payable Options.

• At the Cash Account field, select the cash account for a division of vendors that will override the cash account assigned in Bank Code Maintenance.

You must enter an Accounts Payable and Discounts Earned account to avoid missing or invalid general ledger account errors when updating.

Note: When posting checks, the program checks Division Maintenance for a cash account. If no account was defined, the program uses the cash account selected for the bank code in Bank Code Maintenance.

Default Division

• Division number 00 is predefined by the system.

• Companies with no divisions must enter the appropriate general ledger accounts under division 00.

Available when theCalculate Sales Taxin A/P Data Entrycheck box is selected in Accounts PayableOptions.



Bank Code Maintenance0

Use Bank Code Maintenance on the Setup menu to define up to 36 bank accounts. The cash account, bank ID number, next check number, and address are entered for each bank code you create.

Figure 8

• Bank code A is always the default bank account and you cannot delete this bank code.

- You should assign your primary bank account to this code.

• Bank codes are defined just once for all modules within one company.

• You can create and maintain bank codes in Accounts Receivable, Accounts Payable, Bank Reconciliation, Payroll, and Common Information.

Beginning balances for bank codes are entered only in Bank Reconciliation.

After a bank code is defined and the integration to Bank Reconciliation is selected, transactions using a bank code are updated to Bank Reconciliation.

Note: You can print the address defined for the bank account and the MICR encoded bank account on blank check stock by modifying the actual check form. Click the Designer button to modify the form.

Defines the general ledger account used forchecks printed for the selected bank code.

Select a defaultform code touse for printingchecks.

Used to enterMICR encodinginformationprinted onchecks.

Enter the nextcheck number to use for thisbank code. Thisnumberincrementsautomaticallyeach time acheck is issuedfor this bankcode.



Terms Code Maintenance0

Use Terms Code Maintenance on the Setup menu to create common payment terms offered by vendors to your company. After defining terms codes, you can assign a default terms code to vendors in Vendor Maintenance.

Figure 9

• During invoice entry, discount amounts are calculated automatically and invoice and discount due dates display based on the assigned terms code.

Although terms codes are preassigned to vendors, you can change the terms code when entering an invoice in Invoice Data Entry.

- You can automatically create new terms codes while in Invoice Data Entry.

• A default terms code of 00 is established for vendors with invoices due on receipt.

- You cannot delete the 00 terms code but you can change the description.

• The Minimum Days Allowed field enables the proper calculation of the discount due date when the Day of the Month check box is selected.

ActivityAdd a new terms code.

1. From the Setup menu, select Terms Code Maintenance.

2. Add code 04 with a description of 3% 10 DAYS, NET 30 DAYS.

• The due date is 30 days from the invoice date. Enter 30 at the Days before Due field.

• A 3 percent discount is available if the invoice is paid within 10 days. Enter 3 at the Discount Rate field.

3. Click Accept and close the window.



Sales Tax0

You can define sales tax information for use in Accounts Payable and Purchase Order, allowing the calculation of sales tax on invoices and purchase orders.

• Four tasks are used when defining sales tax information:

- Sales Tax Class Maintenance, Sales Tax Code Maintenance, and Sales Tax Schedule Maintenance. All tasks are located on the Setup menu in Library Master and affect all companies.

- Sales Tax Account Maintenance is located on the Setup menu in Accounts Payable and the Main menu in Common Information and affects only the current active company.

Note: Sales tax is only calculated on invoices if the Calculate Sales Tax in A/P Data Entry check box is selected in Accounts Payable Options.

Sales Tax Class MaintenanceUse Sales Tax Class Maintenance on the Library Master Setup menu to define sales tax classes. You determine the rate calculated for each tax class when defining the sales tax codes in Sales Tax Code Maintenance. Sales tax classes are assigned to sales codes, inventory items, and vendors.

Figure 10



Sales Tax (continued)0

Sales Tax Code MaintenanceUse Sales Tax Code Maintenance on the Library Master Setup menu to create sales tax codes. Sales tax codes represent the different tax jurisdictions such as State, County, and Local. Sales tax codes determine the rate to charge for each tax class for a specific tax jurisdiction such as state or local sales tax.

Figure 11



Sales Tax (continued)0

Sales Tax Schedule MaintenanceUse Sales Tax Schedule Maintenance on the Library Master Setup menu to define specific tax schedules. Tax schedules determine which sales tax codes to use when calculating sales tax. You can assign a default sales tax schedule to each vendor in Vendor Maintenance.

Figure 12

Sales Tax Account MaintenanceUse Sales Tax Account Maintenance on the Accounts Payable Setup menu to define the posting accounts for each tax code. Information defined in this task is specific to the company selected. Consult your CPA for the appropriate account types to use based on how sales tax is reported in your state.

Figure 13

Note: The accounts defined at this task take precedence over the accounts assigned in Division Maintenance.



Memo Manager Maintenance0

You can create memos for specific key items such as vendors, invoices, and invoice history.

• Use Memo Manager Maintenance on the Setup menu to control, by role, tasks where memos are displayed for vendors, invoices, and invoice history.

• This provides greater security and flexibility in controlling how and when a user can access memos.

Note: Settings are also defined using Memo Manager Maintenance in Common Information.

Figure 14

RoleAt the Role field, select the role for the memo options you are defining. The roles available include a default selection for all users and any roles defined in Role Maintenance.

• The Role field is only available if security is enabled.

• If security is not enabled, the settings defined are applied to all users accessing the program.

If a user is assigned to multiple roles in the same company, the memo option is selected from the role providing the least amount of restriction.

Lists the memo typesentered for the moduleselected. The memotypes currentlyavailable for AccountsPayable are: Vendor,Invoice, RepetitiveInvoice, and InvoiceHistory.

Click Copy to copy memosettings from one securityrole to another. You cannotchange the module or memotype when copying information.

The Module field defaults to Accounts Payable. You cannotchange the module for this task in Accounts Payable.



Memo Manager Maintenance (continued)0

Task, Memo Options, and Auto DisplayFor each task listed, determine if the memos entered are displayed to the user, hidden from the user, or if the user can maintain memos from the selected task.

• The Auto Display check box determines if memos automatically display when accessing a task.

The actual memos displayed are determined when creating each memo.

PurgeClick Purge to purge memos from the company based on a selection criteria defined in the Purge Memos window. For example, you can define a selection criteria that purges memos with an expiration date prior to 05/31/09.

Figure 15

You can create aselection criteriabased on any or all of the fields listed.

The options available at the Operand field include: All, Begins with, Ends with, Contains,Less than, Greater than, Range, Equal to, and Not Equal to.

The Value fields availableare based on the operandselected. For example, ifyou select Range as theoperand, you must enter astarting and ending value.



Memo Manager Maintenance (continued)0

ActivityDefine specific settings for the Default role in Memo Manager Maintenance.

1. From the Setup menu, select Memo Manager Maintenance.

2. Select Vendor as the memo type and Supervisor as the role.

3. Select information as displayed in the figure below.

Figure 16

4. Click Accept and close the window.



Converting from Another Accounts Payable System0

When first setting up a company, you need to enter outstanding vendor balances from your previous accounting system. You need to enter any existing invoices, credit memos, debit memos, and adjustments, which are reflected in the general ledger account balances, before starting daily processing.

The steps for entering and verifying information from an existing accounts payable system are listed below:

1. Gather all unpaid invoices as of your last closed accounting period.

2. Run a report from your current system or prepare an adding machine tape totaling the invoices. This amount should equal the account balance for the accounts payable account(s) in General Ledger.

3. Set the accounting date to the last day of the last closed accounting period. This is the current period established in Accounts Payable Options.

4. Enter 1099 payments in the current calendar year.

5. In Invoice Data Entry, enter the outstanding balance amounts for each invoice using the original invoice dates. During the distribution process, post the entire distribution balance to your accounts payable account number in General Ledger.

Note: This is done because you have already expensed these invoices in your existing system.

6. Print the Invoice Register from the Main menu. The total should equal the balance of the accounts payable account in General Ledger.

7. Update the Invoice Register and the Daily Transaction Register.

8. Run Full Period End Processing to clear the month-to-date purchases fields and forward to the next period.

9. Reset the accounting date to the first day of the current accounting period.



Linking Accounts Payable to Accounts Receivable0

Many companies have Accounts Payable vendors who are also their Accounts Receivable customers. For these vendors/customers, you can apply Accounts Receivable invoices to the vendor’s balance automatically or selectively, eliminating the manual matching process of issuing checks and posting payments.

Vendor and Customer Link MaintenanceUse Vendor and Customer Link Maintenance on the Setup menu to link vendors to the corresponding customers in Accounts Receivable. This allows the balance owed the vendor in Accounts Payable to be applied automatically to the balance of the customer in Accounts Receivable.

Figure 17

This task is available only if Accounts Receivable is activated for this company.

• Vendor and Customer Link Maintenance also requires an established vendor list.

AP from AR Clearing SelectionUse AP from AR Clearing Selection on the Period End menu to choose the vendors/customers to include in the clearing process.

• The clearing process takes the vendor’s balance and transfers it to the appropriate customer’s balance in Accounts Receivable.

• This reduces the amount owed by that customer in Accounts Receivable.



Linking Accounts Payable to Accounts Receivable (continued)0

AP from AR Clearing EntryUse AP from AR Clearing Entry on the Period End menu to add, delete, and modify Accounts Receivable amounts transferred to Accounts Payable.

• After you select a customer with a valid vendor link, the Accounts Payable balance, Accounts Receivable balance, and total Accounts Receivable invoices to clear display.

• For each invoice selected, you have a choice of determining the amount to apply.

AP from AR Clearing RegisterUse AP from AR Clearing Register on the Period End menu as an audit report to check the selected Accounts Receivable invoices before clearing them in Accounts Payable.

• After the report prints, you have the option of updating the register and the Daily Transaction Register.

• After updated, a credit memo is created in Accounts Payable for the amount cleared from Accounts Receivable.



Lab0

The purpose of this lab is to review the information learned in the previous topics and to provide experience setting up Accounts Payable. Page numbers are provided to aid you in referring back to the appropriate topics. Complete all steps in this exercise and accept all defaults unless otherwise instructed.

Tasks you will use• Accounts Payable Options

• Terms Code Maintenance

• Sales Tax Code Maintenance

• Sales Tax Schedule Maintenance

• Sales Tax Account Maintenance

In this exercise, you will define settings using various tasks in the LAB company. If you are not in company LAB, switch to that company now. The accounting date is 04/30/10.

1. Make the following modifications to the setup options in Accounts Payable. (page 8)

• Invoice comments posted to General Ledger should include the vendor number, invoice number, and detailed comment.

• Select to default the bank code to the last bank code used in a task.

• Select to print the Tax Journal in a detailed format.

• Select to track only new vendors added and the information is tracked in detail.

2. Create a new terms code based on the information below. (page 16)

• The terms code is 04 and the description is DUE IN 10 DAYS.

• The full amount is due in 10 days from the invoice date and there is no discount.

3. Verify account 670-00-000 is defined as the accounts payable sales tax account for the CA and CA OR tax codes. If not created, add the account. (page 17)



Challenge Questions0

1. What is the purpose of defining divisions?

________________________________________________________________

________________________________________________________________

2. How long can the system retain paid invoices?

________________________________________________________________

3. What is the purpose of selecting the Sales Tax Reporting check box in Accounts Payable Options?

________________________________________________________________



Summary0

You have learned• How to define parameters for how Accounts Payable operates

• How to create divisions, bank codes, and terms codes

• How to create and maintain sales tax information

Additional Training ToolsThe following training tools are available for additional training and for purchase from your business partner:

• TakeCharge Accounting Tutorial (CD)

• Processing your Accounts Payable training class



Appendix1

The following topic is included in this Appendix:

• Appendix A – Challenge Answers

• Appendix B – Accounts Payable Setup Wizard



Appendix A – Challenge Answers2

1. What is the purpose of defining divisions?

Answer: Divisions can stand for branches and profit centers within a company. They are also used to indicate general ledger posting accounts for accounts payable and discounts earned and to classify and group vendors and payable transactions for reporting purposes.

2. How long can the system retain paid invoices?

Answer: Up to 999 days

3. What is the purpose of selecting the Sales Tax Reporting check box in Accounts Payable Options?

Answer: To enable the sales tax features and track sales tax history in both Accounts Payable and Purchase Order.



Appendix B – Accounts Payable Setup Wizard3

The Accounts Payable Setup Wizard is designed to aid in the set up of Accounts Payable for a new company. The Accounts Payable Setup Wizard provides you with several options for defining information for divisions, determine how to post invoices and checks, define the sales tax and 1099 payments, and define the current period and fiscal year.

• You cannot access tasks in Accounts Payable without first completing the Accounts Payable Setup Wizard.

• To access the Accounts Payable Setup Wizard, click Yes when prompted to set up the module for a new company.

- Click No to return to the Desktop.

• The options available in this wizard are the same as discussed in the previous lesson. Refer to the previous lesson for additional information on these options.

Use the following steps when defining information in the Accounts Payable Setup Wizard.

Note: The figures display information for a new company called AP1.

1. From the Welcome page, users can access detailed Help on how to set up Accounts Payable. This includes information on basic concepts and the steps to complete when setting up Accounts Payable for a new company.

Figure 18

• The Set Up Accounts Payable for a New Company link is the only Help available in the wizard.



Appendix A – Accounts Payable Setup Wizard (continued)4

2. Click Next. Use the Define Your Vendor Configuration page to determine if divisions are used, if aging invoices by days or month, and the value for each aging category.

Figure 19

3. Click Next. Use the Define Sales Tax and 1099 Reporting Options page to define how to report sales tax and 1099 payments.

Figure 20




4. Click Next. Use the Define Data Entry Options page to determine how invoices and checks are entered in the program.

Figure 21

• The selections on this page correspond to the new options available on the Entry tab in Accounts Payable Options.

• The Do you want to display a warning for invoices past the discount due date check box corresponds to the new Display Warning When Past Discount Due Date check box on the Entry tab in Accounts Payable Options.

• The batch entry selections correspond to the new Batch Processing options on the Entry tab in Accounts Payable Options.

• After completing the wizard, you can define additional information in Accounts Payable Options.




5. Click Next. Use the Define General Ledger Posting Options page to determine how to post invoices and checks to General Ledger.

Figure 22

6. Click Next. Use the Configure Additional Options page to define miscellaneous settings and to indicate how to account for discounts.

Figure 23




7. Click Next. Use the Completing the Accounts Payable Setup Wizard page to review information regarding the selections made throughout the wizard.

Figure 24

• If any of the information is incorrect, click Back to return to the appropriate pages in the wizard to make the changes.

• Printing the Wizard Listing is ideal if several people are responsible for verifying the information entered before completing the setup process.

• If the Accounts Payable Setup Wizard is cancelled at any point, the setup process is not considered complete and any settings defined are ignored.

Note: You can modify selections made in the wizard using the appropriate tasks on the Setup menu.

Documents

Sage MAS 90 and 200 ERP Setting Up Accounts Payable