Fundamentals of Accounts Payable

Unless you are satisfied with an accounts payable function that is expensive, inefficient, makes lots of duplicate and improper payments, permits fraud and is continually in hot water with state and federal regulators, it is critical that the foundation of the accounts payable department be as strong and impenetrable as possible. This is not as simple as you might think.

To create a solid foundation, best practices must be used and strong internal controls integrated throughout the function. For all that to happen, a good understanding of the fundamentals of the accounts payable function is required. That is the goal of this book and it is a lot more complicated than many realize.

Now many professionals reading this book will already know some of what's included. After all, we all know how to pay bills. For starters, there's a right way and a wrong way to handle the functions related to paying invoices. What's more, the function is changing thanks to technology, new frauds and increased regulatory requirements. So, while some of the fundamentals have stayed the same for many years, a lot has changed.

And, that's just the tip of the iceberg; there's a lot more to the accounts payable function than just paying bills (invoices).

Table of Contents
Preface

Chapter 1: The Foundation of the Accounts Payable Function

Chapter 2: Master Vendor File: Where the Process Should Begin

Chapter 3: Invoice Processing: The Reason Accounts Payable Exists

Chapter 4: Checks: The Original (and Least Efficient) Payment Vehicle

Chapter 5: Purchase Cards: Streamlining the Payment Process for Small Purchases

Chapter 6: Electronic Payments: The Most Efficient Payment Vehicle

Chapter 7: Operational Issues: Invoice Handling and Processing

Chapter 8: Operational Issues: Payments

Chapter 9: Inaccurate Payments and Payment Auditing

Chapter 10: Expense Reimbursement (Travel & Entertainment)

Chapter 11: Check and P-card Payment Fraud: Detection and Prevention

Chapter 12: Electronic Payment Fraud Detection and Prevention

Chapter 13: Fraud: Other Types Affecting the Account Payable Function

Chapter 14: The Accounts Payable Policy and Procedures Manual

Chapter 15: Regulatory Issues Affecting the Accounts Payable Function: A Lot More than Just 1099s

Chapter 16: Using Technology to Run a More Efficient Accounts Payable Function

Chapter 17: Internal Controls: The Glue that Holds a Best Practice Function Together

Chapter 18: Enhancing Operational Productivity in Accounts Payable: The Ongoing Challenge

Chapter 19: Enhancing Payment Productivity: The Electronic Payment Challenge

Chapter 20: Enhancing the Bottom Line: Where AP Can Bring in Cash

Chapter 21: Vendor Relations: An Often-Overlooked Issue

Chapter 22: The Future of the Accounts Payable Function

Glossary

Excerpt: 101 Best Practices for Accounts Payable

Index

About Mary S. Schaeffer and AP Now