Accounts Payable and Receivable Management
Invoicing, collections, vendor payments and cash control.
Taught by Manisha Bhattarai · ACCA, Finance Manager
What you'll learn
- Describe every step of the order-to-cash and procure-to-pay cycles and the documents and entries at each
- Set credit terms, issue compliant invoices and run a dunning sequence that collects on time
- Prepare and read an ageing report, calculate days sales outstanding and account for doubtful and bad debts
- Apply three-way matching, tolerances and approval limits to supplier invoices before they are posted
- Plan payment runs that respect terms, evaluate early-payment discounts and manage days payable outstanding
- Implement segregation of duties, vendor master controls and duplicate-payment checks that prevent fraud and error
About this course
Accounts payable and accounts receivable are where most entry-level finance careers begin and where a business's cash is won or lost. This beginner course is for AP and AR clerks, credit controllers, bookkeepers and small-business owners who want to run both cycles with confidence. You will map the order-to-cash and procure-to-pay processes end to end, set credit terms and send invoices that get paid, run a collections routine with ageing reports and days sales outstanding, account for doubtful and bad debts, apply three-way matching and approval limits to supplier invoices, schedule payment runs that use discounts and terms wisely, and put in place the controls that stop duplicate payments, invoice redirection fraud and unauthorised vendor changes. Journal entries and worked calculations accompany every step. Basic debits and credits are assumed; no software is required, although examples reference common accounting systems.
Course content
6 lessons- 1The Order-to-Cash and Procure-to-Pay CyclesThe two cycles that move cash in and out, the documents that drive them, and the entries at every stage.Preview
- 2Credit Control and Invoices That Get PaidSet terms before the sale, invoice correctly and promptly, and follow a dunning sequence that customers learn to respect.
- 3AR Ageing, DSO and Bad DebtsRead the ageing report, measure collection speed with DSO, and account for doubtful and bad debts correctly.
- 4Accounts Payable: Three-Way Matching and ApprovalCheck every supplier invoice against the order and the receipt, apply tolerances, and route approvals by authority limit.
- 5Payment Runs, Terms and Early-Payment DiscountsPay on the due date, not before or after, and decide when an early-payment discount is worth taking.
- 6Controls Against Fraud and ErrorSegregation of duties, vendor master controls, duplicate checks and statement reconciliations that protect the cash.