[GNC] Tracking UnPaid Bills

[Michael or Penny Novack]

On 3/20/2025 12:49 PM, Murugan Mariappan wrote:
>
>
> The effective date for recording the expense transaction should be 
> based on when the goods or services are received rather than the due 
> date of the bill or the credit period provided by the vendor. This 
> aligns with the accrual basis of accounting, which states that 
> expenses should be recognized in the period in which they are 
> incurred, not necessarily when they are paid.

"the accrual basis of accounting which states that expenses should be 
recognized in the period in which they are incurred, not necessarily 
when they are paid.

PRECISELY --- But That does not always seem that simple.. That is why I 
am asking what date people tend to use. Remember, some expenses are 
normally billed due AFTER the "benefit" and others before (like will not 
be turned on/activated till paid for).

This could get very complicated, as a bill might contain options for 
things in advance. In other words, not necessarily ever going to be 
"paid in full" (some options might be mutually exclusive and/or inclusive)

You need an example? OK, invoice (bill) for renewing with your 
professional association. Might have an option to pay multi-year, might 
have options to include this or that professional publication or package 
of them. And yes I know, technically/legally not a "payable", but we'll 
ignore that.

Michael D Novack