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Former Member

Reconciliation account role in vendor master

Please provide the detail about role of reconciliation a/c in vendor master

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2 Answers

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    Former Member
    Mar 11, 2011 at 12:11 PM

    Reconciliation account in typical accounting terms would " Control account ".

    Means the creditors account in which you want to show the outstanding .

    like Creditors for Materials or Creditors for services or Creditors for other purchase etc.

    So let say you are posting any invoice of expense then system would pass the entry like this :

    Expense A/c Dr. 100

    To, Creditors materials A/c 100 .

    So in sundry creditors it would show as Rs 100 outstanding and in subledger that is vendor account you will see that 100 Rs. as open item .

    Cheers ,

    Dewang

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    Former Member
    Apr 14, 2011 at 04:09 AM

    Hi,

    What is Reconciliation account ?

    The G/L account itself is not designed for direct posting. So the The G/L account characterizes as a reconciliation account in master data account setup.

    Example : if Reconcile a/c say : 211000 for the vendor 56789.

    Then all posting to vendor account 56789 are also posted automatically to the G/L account 211000 . In this way, a reconciliation between sub ledger and general ledger is always guaranteed.

    Thanks

    Dilip

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