hello ;
we have received a number of invoices from our landlord regarding our tenant rent for previous year 2018.These accumulated invoices were still unpaid as of end of the year 2018.Now we want to make sure those invoiced from our creditor (landlord) do appear in our cashbooks (books of accounts).as well as in the prepared financial statement
My simple problem here can be understanding only , how do i capture that invoice amount (from my landlord-creditor) into the system. I guess that may be i should pass a cash/bank transaction into one of the liability accounts , but which account and why ?
If you intend to pay these invoices for prior year rent immediately, and have never entered anything into your accounting records for them previously, just enter a payment. Post it to an expense account like Rent. See Make cash purchases (purchase without purchase invoices) | Manager.
If you will not pay them now, enter purchase invoices after creating your landlord as a supplier. The amount you owe the landlord will appear in the Accounts payable liability account. See Create purchase invoices | Manager. When you eventually pay, post the payment to Accounts payable and the landlord’s subaccount.
hello Tut
thanks you very much for this; and i have already posted the same successful using option #2. So suppose i have the arrears of salaries on employees also i can do like this or other way around ? suppose we have salary arrears of two to three months .
Enter payslips. Read the Guide about it.