Invoice Verification and Payment Processing Quiz

Payment Process Review

• Finance reviews the vendor invoice as part of the payment process.
• A three-way match is completed to ensure accuracy between purchase order, vendor invoice, and receipt.

Confirming Funds Availability

• Atlas checks fund availability in the accounts payable process before authorizing payments.
• For non-PO based purchases, Finance employs a verification process to ensure funds are available.

Three-Way Match Purpose

• The three-way match prevents overpayment and ensures that goods or services delivered match what was ordered.

Department Responsibilities

• The accounts payable department is responsible for completing the three-way match between the purchase order, vendor invoice, and receipt.

Processing Non-PO Payments

• Additional documentation is required when processing non-purchase order payments, which may include justifications or approvals specific to the transaction.

Verification Consequences

• Failing to verify that what was delivered matches what was ordered can lead to financial discrepancies, potential losses, or disputes with vendors.

Payment Request Checklist

• Completing the Payment Request Checklist in accounts payable ensures all necessary documentation and approvals are gathered before processing payments.

Invoice Accuracy Confirmation

• The accounts payable department is responsible for confirming the accuracy of the invoice during the payment processing workflow.

Payment Processing Approval

• Finance requires explicit approval from authorized approvers to process payments, ensuring accountability.

Receipt Confirmation Step

• Physically confirming that goods or services have been received is a crucial step in the payment process to validate the payment request.

Invoice and PO Discrepancy Policy

• According to the policy, a maximum discrepancy of 2% between a vendor invoice and the purchase order must be resolved before payment can be issued.

Authorized Approvers Document

• The Authorization Matrix document is used to confirm authorized approvers when processing payments.

Financial Controls Requirement

• Implementing strong financial controls during payment processing is essential to prevent fraud and ensure compliance with regulations.

Documentation Requirement

• A completed Payment Request Form is required for all payments to formalize and track the transaction.

Purpose of Invoice Verification

• The primary purpose of verifying invoices is to ensure accuracy in billing and prevent financial errors before payments are authorized.

Purchase Order (PO) Payment Definition

• A purchase order (PO) based payment refers to transactions where payments are linked directly to a previously issued purchase order, requiring a match with delivered goods or services.

Test your knowledge on verifying invoices, resolving discrepancies, completing payment request checklists, and signature control documents for payment processing.