Accounts Receivable (non-student)
General
Departments that sell products or provide services need to post revenue on an accrual basis. According to GAAP, accrual accounting requires revenue be recognized when the product is delivered or the services are provided, not when the cash is received. If the products or services are paid for at the time an order is placed, then good cash handling procedures need to be followed, see https://ba.uoregon.edu/content/cash-handling-and-departmental-deposits for procedures. Departments should accrue amounts owed to them by customers external to UO.
To record revenue and a receivable:
Debit Department Index A3103- Misc A/R
Credit Department Index Revenue Account Code
To reduce the receivable deposit the payment utilizing TWADEPO:
Credit MISC Department Index A3103- Misc A/R
Debit CASH, CHEK or CARD
A record of bills sent and amounts received must be kept in the department.This needs to be reconciled to Banner through FGITBAL on a quarterly basis. This can be done in an excel spreadsheet and may look like the following example.
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Accounts Receivable Reconciliation |
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Department: My Department |
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Date: 10/8/XX |
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Prepared By: Me |
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Date |
Description |
Document |
Sales |
Payments |
Balance |
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7/1/XX |
Beginning Balance |
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1,000.00 |
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7/15/XX |
July Sales |
J000111 |
500.00 |
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1,500.00 |
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7/21/XX |
Payments |
F000313 |
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1,000.00 |
500.00 |
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8/12/XX |
August Sales |
J000175 |
750.00 |
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1,250.00 |
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8/18/XX |
Payments |
F000395 |
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450.00 |
800.00 |
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9/23/XX |
September Sales |
J000205 |
850.00 |
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1,650.00 |
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9/30/XX |
Payments |
F000423 |
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800.00 |
850.00 |
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Balance 9/30/XX from FGITBAL Acct A3103: |
825.00 |
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Difference: |
25.00 |
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J000205 did not include sales of 25.00 |
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recorded with J000252 10/8/XX |
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Year End Procedures
Each department that records accounts receivable needs to submit a listing of entities external to the University who owe amounts for goods or services that have been provided. This listing also needs to indicate the date the goods or services were provided and short description of them. A template for this listing is located at https://pages.uoregon.edu/baoforms/bao_drupal_6/sites/ba.uoregon.edu/files/forms/yearendar.xlsx. Please see the deadlines listing on the Year End Close website for due date and procedures.
COPS (Certificates of Participation)
At the point COP reimbursements are requested, a receivable is booked.
Entry:
Debit A3103 "Miscellaneous A/R" for the amount of the reimbursement request
Credit 05202 "COPS Proceeds" for the amount of the reimbursement request
When the reimbursement is actually received it should be deposited against the A/R account (A3103 Miscellaneous A/R). At year end a reimbursement request for expenditures that are outstanding at June 30 must be processed prior to the close of fiscal period 12.