Accounts payable

It is a model trained around tippy-tapping on your keyboard and mousing around your desktop.

That is the most interesting thing here, honestly, because an AI using your computer is the final frontier of useful AI for people who work in accounting firms.

As much as I would like for, uh, the reality of being a public accountant to be like, "Oh, I use this app and this other app, and they both have tremendous APIs, and they talk with each other, and it's just these two apps that we use," I would love if that was the case.

It is not.

Being a public accountant is using 50 different stupid things, and every time you add a new client, they've got some app that you haven't heard of that won't connect with anything else, and there's all these, like, industry-specific software solutions that are so dumb and so bad that what you end up being is just, like, the back office finance MacGyver.

I'm located at our plant in LaGrange, Georgia.

I'm responsible for AP, AR, credit collections, payroll, and general accounting, all under my area.

We use JD Edwards for most of the financial processes.

Since 2007 is when we first started with AP.

Interface is a flooring company.

Here in LaGrange, Georgia, we manufacture ducted carpet tile.

opportunities, maybe we can call them,

that you've had over the years.

Cut-offs sound simple until you're staring at a goods received, invoice received report full of old items, missing invoices, and timing problems that make your financials look just dead wrong.

Today we're going to walk through what cut-off really means in accounts payable, why it matters, and how to avoid the mistakes that cause messy accruals and even For interest, let's start off by taking a basic look at what we mean by cutoff.

It may not be what you think.

Cutoff refers to the accounting practice of ensuring that all financial transactions are accurately recorded in the correct accounting period.

An employee trying to defraud the company could use one of them to hide a fraudulent payment.

For this reason, many organizations require dual signatures in this case to avoid fraud.

Now, there'll often be an argument between accounts payable and procurement as to who should be doing the reviewing of this report.

and that's you know a subject for each individual organization to decide for itself but at the end of the day somebody needs to do it and of course there is the related report that's for invoice but not received in an ideal world this would never happen but i don't know anyone who lives in that ideal world so let's take a look at the invoice but not receive report and how an item might end up on it number one the invoice is just fraudulent in most organizations this is the most likely cause but before deciding that's what it is you need to do some research number two and this does happen unfortunately the supplier sent the invoice before they shipped the goods should this happen no but it does number three something happened to the goods in transit and they did not arrive as expected and number four The receiving document was matched against another invoice, and it is a legitimate invoice, but then you have to go back and see what happened with the other invoice.

I play Savannah.

Savannah is brand new to Accounts Payable.

It's her first job out of college, and she's doing things the way that she was trained, and she's really struggling with the new system.

And spoiler, she quits.