Would I be correct in my understanding that if all is well, the AP Clearing account specified in POA/Company Profile/Interface Posting Options should be the same balance in these 2 places?

1. POA/Reports/Outstanding Receipts Invoice List for All Vendors and All Receipts and All Dates.

and

2. The balance of that same account in Ledger?

The only modules that put entries into that account are POA and AP (generated from POA). If these do not balance, I feel that it would be appropriate to enter an adjustment to balance that amount with the report generated that I mentioned above in POA into Cost of Goods Sold. Would this be correct? Can anyone confirm that I'm on the right track?

Hi Susan

You are correct. The AP Clearing account is not a clearing account at all (i.e. an account that would naturally have a zero balance). It is really a control account and the report you mentioned is the subsidiary report which prints the detail whose total should agree with its balance.

I usually call the account "Received but not Invoiced" in my chart of accounts, rather than AP Clearing.

Steve

Thanks Steve. I'm so glad to have confidence in understanding this!