USA Old AP Balances


Joined
Jun 7, 2021
Messages
10
Reaction score
1
Country
United States
Hello!

I recently took over the accounting department of my company, and I have been going through their BS to try and clean things up. I have a number of open balances on our AP aging that are over 15 years and that are Debits (we either overpaid or they gave us a credit that we never used). The amounts are not material in any given year, but in total might be material for this year.

How do I clear this up? I was hoping to use one P&L account ( i.e Misc. Expense) so that I can track all PY adjustments there and not impact the rest of expense accounts that contain correct info for this year. I wonder if that would be an issue for the audit and they would want me to book the expense to the relevant expense type i.e Printing, travel, outside ervices and so on.

Thanks!
 
Ad

Advertisements

kirby

VIP Member
Joined
May 12, 2011
Messages
2,229
Reaction score
302
Country
United States
I would use the one P&L acct. Then only if Audit insists on splitting things out would I then take the effort to split expenses out.
 

Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Similar Threads


Top