Overview
During the intercompany invoice clearing process, incoming prepayments from a company are offset against outstanding accounts receivable.
You often need to communicate with another company's bank accountant regarding a proposed offset.
This process assumes that outstanding balances to be cleared are payment-related.
As a result of the process, intercompany account balances are decreased.
Clear intercompany accounts flowchart
Paths
| Path | Profitability & cost → Intercompany → Intercompany sales documents (all) |
|---|---|
| In-app link EN code |
e1cib/app/DataProcessor.LogOfIntercompanyDocuments
|
| In-app link RU code |
e1cib/app/Обработка.ЖурналДокументовИнтеркампани
|
How to ascertain invoice AR/AP objects
1. Go to Profitability & cost and click Intercompany sales documents (all) under Intercompany.
2. Open the Customer invoice – Intercompany document and click the Main tab.
3. Click the Amount paid hyperlink.
4. In the Intercompany AR/AP open items report, specify the Period.
5. Click Settings to change the report structure and set filters.
6. Click the Structure tab and select the AR/AP object check box, and then click Generate.
7. Review the report and find the AR/AP object relevant to the invoice.
8. Review the information about accounts payable and receivable by the AR/AP object.
9. Find the AR/AP object and identify its type: intercompany Contract or intercompany Invoice.
Paths
| Path | Profitability & cost → Profitability and cost reports → Intercompany → Intercompany AR/AP open items |
|---|---|
| In-app link EN code |
e1cib/data/Catalog.ReportsOptions?ref=89db0050569f7a5511eda3bd4232d46a
|
| In-app link RU code |
e1cib/data/Справочник.ВариантыОтчетов?ref=8e500050568b35ac11e8e193bcb573c1
|
How to check automatic clearing under contract
1. Go to Profitability & cost → Profitability and cost reports and then click Intercompany AR/AP open items under Intercompany.
2. Analyze the payments and invoices related to the Contract.
3. View the Customer receivables and Customer payable columns to find contra entries. The system automatically offsets amounts payable and receivable automatically within one Contract.
Note
Open the Scheduled and background jobs workplace and click the Scheduled jobs tab.
Find the Execute deferred movements by customers/vendors AR/AP scheduled job that automatically offsets AR/AP documents.
4. Check if the automatic clearing result is correct.
How to find opposite AR/AP open items
1. Go to Profitability & cost → Profitability and cost reports and then click Intercompany AR/AP open items under Intercompany. 2. Click Settings to change the report structure and set filters. 3. Specify the Period. 4. Select the AR/AP object check box and click Generate. 5. Find the AR/AP object, payments, and invoices relevant to the Invoice. 6. Review the information about the accounts payable and receivable by the AR/AP object. 7. Find the amounts in the Customer receivables and Customer payable columns within the combination of group companies to find contra entries.
How to clear opposite AR/AP open items
1. Go to Profitability & cost and click Intercompany sales documents (all) under Intercompany.
2. Open the Customer invoice – Intercompany document and click the Main tab.
3. Click Payment offset.
4. In the Payment offset workplace, click the Open payments tab. The system will prepare a list of payments from the Vendor company that are related to:
- Payment
- Contract
5. Select the item you need and click Offset payment to clear the payment document amount against the AR/AP object amount.
6. Open the Intercompany AR/AP open items report.
7. Reconcile the open balances and check that the clearing was correct.