Many companies have added automated A/13 files to their general ledger systems. Most systems automatically track and report payables and provide summaries of amounts owed each vendor.

All in all, life becomes much easier with an automated system—providing the accounting department:

• Sets up vendor files properly.
• Sets up the A/1′ subledger to default to the general ledger.
• Establishes default files that categorize and track specific types of amounts owed and payments due.

The automated system includes the same types of information listed in the manual file, such as date of transaction, name of vendor, description of purchase, amount owed, and terms of payment. Using that data, the automated system will send the necessary information to the A/1′ subledger, which then batches all payables by entry date and balances the batch to the general ledger account.