Acca financial Accounting (FA) Study Text ac ca (FA)

Chapter 14 

KAPLAN PUBLISHING

251 

Supplier statement reconciliations  

It is also possible to reconcile a supplier statement to the individual 

ledger account balance. 

The purpose for doing this is as follows: 

•

before any payments are made to suppliers it is important to ensure

that the supplier statement is correct – or else over or under

payments could be made.

•

each invoice and credit note listed on the statement should be

checked to the original documentation for accuracy.

•

when accuracy has been established, it is then possible to decide

which invoices need paying and when by.

Below is an example extract of a statement from a supplier: