Suppose I m at the end of the year and I know that I have to recieve a bill for let’s say telephone costs.
I have learned that it’s a good habit to put the costs on the year that the costs are made.
So I do these steps :
Telephone costs 100 to Recieved bills 100
Now on 10 janauri I recieve the invoice.
So I do
Recieved bills 100 to Payable bills 100
then I pay at the 12 janauri
Payable bills 100 to Cash/Bank 100
Can I do this the best with a some journal posts.