What is an Invoice in Fusion Payables

Invoices are itemized lists of goods shipped, services rendered, or a combination of both. They also include all accompanying costs. You can capture the attributes of invoice documents from suppliers using Payables. You can enter invoices in Payables, separating out the invoice header, invoice lines, distributions and installments.

An AP invoice send by supplier or vendor in which due payments are mentioned for the particular purchase of goods or services to a buyer. It includes payment details and their charges that to be paid to supplier or vendor.

Invoice Components: How They Fit Together

As you begin to work with invoices, you'll discover they are made up of several core elements: a header, lines, distributions and installments. This flow chart explains how these parts work together:

 

The Header

It answers the question, “What's the most important information you need to know about this file?” It can contain multiple lines of detail, including:

• Invoice number
• Invoice amount
• Supplier
• Payment terms

Lines

Without lines of deep information, you don't have much of an invoice. These lines can have one or more distributions and:

• Record details such as tax, freight and miscellaneous charges
• Capture details needed to integrate with Oracle applications
• Can be generated automatically by matching an invoice to a purchase order, receipt or consumption advice
• Can be entered manually

 Distributions Pull It All Together

You can create accounting entries with distributions. It acts as the glue of an invoice by including information, such as:

• Accounting date
• Distribution combinations
• Project information

Installments Act as a Calendar for Your Invoices

You can't have an invoice without a deadline, and installments make sure your finances adhere to the calendar with information such as:

• Due dates
• Due amounts
• Discount dates
• Payment method

Invoice Type	Purpose of Invoice Type
Standard	A supplier document for goods or services rendered
Prepayment	An advance payment to a supplier
Credit Memo	A supplier document that provides a credit for goods or services rendered
Debit Memo	A credit from a supplier that doesn't send you a credit memo document

Invoice Line Types You Might Use

In short, invoice line types categorize the lines on an invoice. Here's a rundown of common types: 

Invoice Line Type	Purpose of Invoice Line Type
Item	Details about goods and services
Freight	Charges for freight  Note: These can be allocated to Item lines.
Miscellaneous	Various charges such as installation or service Note: These can be allocated to Item lines.
Prepayment	Lines for prepayment application or unapplication Note: These are created automatically.

Fusion Payables Invoice screen:

 

 

 

Invoice in Receivables:

An invoice, sometimes called a sales invoice, is a document sent by a provider of a product or service to the purchaser. The invoice establishes an obligation on the part of the purchaser to pay, creating an account receivable. In other words, the invoice is a written verification of the agreement between the buyer and seller of the goods or services.