Accounts Receivable: Running Reports to Monitor Cash Balance I. Overview Description: A receivable is recorded (at the time the invoice is processed) and the unit receives revenue for the amount of the invoice on their Statement of Activity (SOA). When the revenue appears on the SOA, it does not mean that the payment for the invoice has been made and the unit should not view this transaction as cash being received. At the same time the revenue is generated to the department SOA, a receivable is recorded centrally for the University. The following process should be completed on a monthly basis to ensure the unit understands their current cash balance. There are two reports that can be run to analyze the cash position. Both reports contain similar information, the output and organization of the report differs. Each unit should determine which report fits their needs. If any issues arise, the unit should work with Shared Services to resolve any errors. Note: Process changes will be minimal for those using the central receivables system today. Competency(ies) Required: M-Pathways FINPROD, Business Objects (Accounts Receivable), and M-Reports, Email Frequency: Monthly SSC Turnaround: If unit contacts Shared Services, response within 3 days. Accounts Receivable: Running Reports to Monitor Cash Balance As of 6/9/2014 1 Accounts Receivable: Running Reports to Monitor Cash Balance II. Process Flow School/Unit/Department Detailed Process for Running Reports for Accounts Receivable School / Unit / Department Note: Process changes will be minimal for those using the central receivables system today Monitor Cash Balance 1. Log into Business Objects or M-Pathways 2. Run Statement of Receivables Report 3. Run Aging Report 4. Review and analyze results 5. Consult with Shared Services if questions arise UM Shared Services Note: See FIN Accounts Receivable Process Flows for detailed Shared Services steps Resolve Issues 6. Work with unit to resolve issue End III. Process Steps Step Description Current Staff Future Staff Training 1 Log into M-Pathways FINPROD, Business Objects, or M-Reports. AR160 2 Run the Statement of Receivables Report. This report shows the open receivables as of the date run and any activity applied to those items (i.e., payments, writeoffs, or credit memos). AR160, MyLINC: Statement of Receivables Report Field Descriptions In M-Pathways FINPROD, this report can be found at: Main Menu Reporting Tools AR Reports Stat of Recv by Fund/Dept/Prog (or by Project/Grant). In Business Objects, this report can be found at: Accounts Receivable: Running Reports to Monitor Cash Balance As of 6/9/2014 2 Accounts Receivable: Running Reports to Monitor Cash Balance Public Folders UM-Maintained Financials AR01 Accts Receivable and Billing AR01 AcctsRec Aging Detail by Fund,Dept,Program (or by Project Grant) In M-Reports, this report can be found at: Research Outstanding Receivables or FinMgmt Projects Outstanding Receivables. For a description of the report fields, refer to the Statement of Receivables Report Field Descriptions available in MyLinc. 3 Run the Aging Detail Report. This report lists the open receivables and shows the number of days the invoice has been outstanding. In M-Pathways FINPROD, this report can be found at: AR160, MyLINC: Aging Detail Report Field Descriptions Main Menu Reporting Tools AR Reports Aging Report by Fund/Dept/Prog (or by Project/Grant). In Business Objects, this report can be found at: Public Folders UM-Maintained Financials AR01 Accts Receivable and Billing AR01 AcctsRec Aging Detail by Fund,Dept,Program (or by Project Grant) In M-Reports, this report can be found at: Research Outstanding Receivables or FinMgmt Projects Outstanding Receivables. For a description of the report fields, refer to the Aging Detail Report Field Descriptions available in MyLinc. 4 Review and analyze results. AR160 5 Consult with Shared Services if questions arise via phone (734) 615-2000 or email at AR160 Accounts Receivable: Running Reports to Monitor Cash Balance As of 6/9/2014 3 Accounts Receivable: Running Reports to Monitor Cash Balance accountsreceivableSSC@umich.edu. IV. Document and Training Repository Document Title AR160 Description This training will cover an overview on how to handle cash, checks, and sponsor calls; rules about which funds you can bill on; running the monthly statement reports; and understanding their role in the collections process. This class is geared towards managers in the unit. Statement of Receivables Report Field Descriptions This document includes definitions for the fields on the Statement of Receivables report. Aging Detail Report Field Descriptions This document includes definitions for the fields on the Aging Detail report. Accounts Receivable: Running Reports to Monitor Cash Balance As of 6/9/2014 4