oboloo Glossary

Accounts Payable Steps

oboloo Glossary

Accounts Payable Steps

Accounts payable refer to the money owed by a company to its suppliers for goods or services purchased on credit. The steps required for managing accounts payable include: recording and classifying transactions; verifying invoices and packing slips; preparing payments; reconciling accounts; and handling disputes, if any arise. To ensure efficient and accurate account payment practices, companies should establish clear policies and procedures regarding how accounts payable is managed. Ensuring adherence to these policies and procedures will help streamline the process, minimize manual work and reduce costs. Companies should also invest in electronic payment solutions that can further simplify the accounts-payable process.