Create a Reversal Journal Entry
Reversal journal entries are used to negate a previous entry. They are commonly applied to ensure accruals or deferrals from a prior period do not affect the current period's financial statements.
For example, you might create a reversal for accrued expenses recorded at month-end when the expense has been incurred but no invoice or bill has been received.
To Create a Reversal Journal Entry:
Open the Command Palette (Ctrl+K or Cmd+K) and search for New Journal Entry.
In the journal entry form, enter the required details.
Set the Reversal Date to the date when the entry should be reversed.
Click Create Entry.
The system automatically creates a second entry with debits and credits opposite to the original. The original journal entry is also linked in the Related Items on the reversal entry.
Note:
If the original journal entry is updated, the reversal journal entry is also updated.
To make changes to a reversal entry, you must edit the original journal entry.
See Also
To learn more about creating and managing journal entries in Rillet, review these articles:
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