Hello Hasan,

You mentioned the accounting when payment is made in AP as below

Expenses Dr

To Cash

Now I feel this is true only when it is really in cash but im most cases
it will be through bank. Therfore the entry whould be


Expenses Dr

To Cash clearing A/C.

This is because until and unless the payment clears the respective bank
and you get a bank statement or a bank file from your bank and the reconciliation
is done the clearing account would not get knocked off. After reconciliation
the entry would be

Cash Clearing A/C Dr

To Cash/Bank.

Let me know if I am correct.

Also, can you please clarify at point in the invoice process and the payment
process the accounting takes place.Is it only when you hit "Create Accounting"

Thanks,

AS

Please go through my Cash Management videos and see if your questions still remain unanswered.

Sorry, Hasan I never saw the cash Management module.

But You have not answered the 2nd part of my question. "Can you please clarify at point in the invoice process and the payment
process the accounting takes place?

Thanks,
AS

For that watch videos on Creating Accounting in AP.