Accounts Payable > Deferred Expense

The Amortize Expense function allows you to post amortized deferred expenses. This function is used to record the portion of prepaid expenses that has been consumed. Posting amortized deferred expenses can be done for all or a range of vendors.

Note: The Amortize Expense function is available and accessible only if the Expense Amortization feature is activated in the AP Module Setup function.

To post deferred expense amortization, perform the following steps:

1.Access the Amortize Expense function from the from the Routine Tasks main menu.

Note: The Last Amortized Post Date (Through) field displays the most recent posting date for amortized expense transactions.

2.Accept or amend, if necessary, the default date in the Amortize Post Date field which will serve as the cut-off date for the deferred expense invoices for which you want to post amortized expenses. The Post Date assigned to each cycle in the expense amortization schedule is compared to the date entered in the Amortize Post Date field. All Post Dates that fall on or before the Amortize Post Date will be treated as used and the corresponding entries will be generated to transfer the amounts from the prepaid expense account (i.e. Deferred Expense) to the realized expense account (i.e. Amortized Expense Account).

3.Enter in the Vendor # From/To fields the vendor numbers for which you want to post amortized expenses. If you want to post amortized expenses for all applicable vendors, select the "All" option.

4.When you are ready, click the Amortize button. AccountMate will post the expense amortization based upon the deferred expense invoices that meet the specified criteria and the expense amortization schedule that is set up using the Schedule Expense Amortization function. A message window will appear showing information on the total number of invoices for which amortized expenses are posted as well as the total amount of amortized expenses. Click OK to close the message window.

Note: In the event that the deferred expense invoice is assigned a foreign currency, AccountMate will use the original invoice exchange rate to convert the amortized expenses to home currency amounts.

Amortize Expense

Amortize Expense

See Also