About Batch Processing in Accounts Payable

Batches are groups of transactions that share the same batch number and batch date. Each transaction has its own entry number, vendor number, date, and details.

Accounts Payable operates on a batch system. This means that you:

1. Enter the three main types of transactions—invoices, payments, and adjustments—into batches.

2. List the batches to check for errors.
3. Post the batches to record the transactions in vendor accounts and distribute the amounts to general ledger accounts.
4. Print the posting journals and G/L Transactions report as part of your audit trail records of batches.

The batch system for processing transactions provides great flexibility at the batch-entry stage, and tight auditing control during and after posting.

For details, see the following topics:

• About Creating Accounts Payable Batches
• Journal Entries Generated by Accounts Payable
• About Listing Batches
• About Posting Batches
• About Printing Posting Journals and the G/L Transactions Report
• About Tracking Batches

About Batch Types

There are three types of transaction batches in Accounts Payable:

Invoice batches. Invoice batches contain invoices, debit notes, credit notes, and interest invoices. In multicurrency ledgers, each invoice batch can contain documents in different currencies.

Payment batches. Payment batches contain payments, prepayments, miscellaneous payments, and transactions that apply previously posted payments and credit notes to documents in vendor accounts. You can also enter adjustments to specific documents in payment batches if you use the Allow Adjustments In Payment Batch option.

In multicurrency ledgers, all payments in a single payment batch must be in the same currency, and the currency must be accepted by the bank code assigned to the batch.

Adjustment batches. Adjustment batches contain corrections to posted transactions. In multicurrency ledgers, a single adjustment batch can contain transactions in different currencies.

Assigning and Using Batch Numbers and Entry Numbers

To keep a clear and accurate audit trail, Accounts Payable automatically assigns a number to each batch and to each entry (transaction) you add to a batch, starting with 1. You must use the assigned batch and entry numbers.

A separate numbering sequence is used for each type of batch (invoice, payment, and adjustment).

The batch and entry numbers are a permanent part of each transaction record, and they appear with the transactions on Accounts Payable reports, such as posting journals and the Vendor Transactions report.

You can use batch and entry numbers to trace the progress of transactions through the Accounts Payable system and, if you use the numbers as the descriptions or references for G/L transactions, into your general ledger (unless you consolidate the transactions during posting in Accounts Payable).

Number of Open Batches Permitted at One Time

You can have an almost unlimited number of batches open at once, depending on available disk space. The ability to use several open batches means you can group transactions by data entry person, currency, date, location, or any other criteria you find useful.

System-Generated Payment Batches

You can have only one open payment batch that has been created using the A/P Create Payment Batch screen, although you can have other payment batches that you imported or created with the Payment Entry screen.

Force Listing of Batches

If you use the Force Listing Of Batches option, you must print batch listings for each batch you want to post. You must also print a new listing for each batch you edit.

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