What is the general ledger impact when a vendor invoice is received and verified?
A)Debit GR/IR,credit vendor subledger account
B)Debit inventory,credit GR/IR
C)Debit vendor subledger account,credit COGS
D)Debit inventory,credit vendor subledger account
E)Debit vendor subledger account,debit GR/IR

Question

Quizplus · Accepted Answer

When a vendor invoice is received and verified, the general ledger impact is to debit the GR/IR (Goods Receipt/Invoice Receipt) account and credit the vendor subledger account. This is because the invoice has been verified and the liability to pay the vendor has been established. The GR/IR account is used to track the differences between goods received and invoices received, and is cleared out when invoices are paid.

What Is the General Ledger Impact When a Vendor Invoice