Invoice processing

Invoice processing : involves the handling of incoming invoices from arrival to payment. Invoices have many variations and types. In general, invoices are grouped into two types:

<ol><li>Invoices associated with a company's internal request or <a href="/facts/Purchase_order/caBsYrlP">purchase order</a> (PO-based invoices) and</li>
<li>Invoices that do not have an associated request (non-PO invoices).</li></ol>
Most organizations have clear instructions regarding the way that they should process incoming invoices. It is common to have one approach for PO-based invoices, and another for non-PO invoices. Some companies also have unique requirements based on the type or dollar amount of a transaction. 
In general, both types of invoices are processed by a company's <a href="/facts/Accounts_payable/paPtrc3d">accounts payable</a> department. The process in which a supplier invoice is validated and paid is also known as the <a href="/facts/Purchase-to-pay/wkRCfUAe">purchase-to-pay</a> cycle.

Invoice processing open-in-new

Invoice processing