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Accounts Payable Process: Three-Way Match Explained

Accounts Payable Process: Three-Way Match answers the basic question what is the three-way match. The Three-Way Match is the foundation for the accounts payable function. Accounts payable best practices always include a three-way match. The accounts payable process, if it includes accounts payable best practices, also includes a three-way match. It is considered a strong #accountspayable internal controls and all #accounting professionals recommend it. #bestpractices The three-way match concept is an old approach used in accounts payable departments across the country, or at least those that use accounts payable best practices. It involves comparing the purchase order vs invoice and is a strong accounts payable internal control. This is episode 144 of the AP Now podcast The three-way match in accounting involved matching the invoice, purchase order and receiving documents. A good process that includes comparing the purchase order vs invoice vs receipt is how invoices get paid in most organizations. The most commonly asked question in this regard is what is a receiving document, as most are not familiar with that document as it is sometimes called a packing slip. Changing Invoice Practices Playlist    • Changing Invoice Best Practices   Learn more about AP Now at www.ap-now.com