Question

How do you enter a payment against an invoice during invoice entry? (5)

Answer 1

The invoice implies that something has been purchased. So on the purchase date, the journal entry is dr Inventory cr Accounts Payable. But a lot of times a purchase has been made, and the purchaser did not notify anyone within the company. So upon receipt of the invoice the same journal entry would be made, but at a later date. When an AP check run is completed, then dr Accounts Payable cr cash.

RAM being your supplier you would debit Purchases/Expense Account and ctedit Bank if paying in cash ot Trade Creditirs if on Account.

Assuming it's an invoice for goods purchased.

Dr Purchase (P&L A/c) A/c

Cr Ram (Accounts Payable) A/c

If it is something else then debit appropriate account viz., fixed assets, expenses, etc.