Correct Coding on a Cash Receipt

"I've posted a cash receipt to the wrong invoice. How do I apply this receipt to the correct invoice?"

1.	Use the Receipts > Reverse Receipts option to void the receipt. Enter the ORIGINAL receipt date as the VOID date at the bottom of the screen. This will reinstate the invoice with the voided receipt amount in the unpaid receivables table (openar.adt).

2.	Enter the receipt to the proper invoice. Be sure to use the same ORIGINAL receipt date for your entry.

Be sure to check with your company's controller to determine the appropriate transaction date to use for Step 1 and 2. If the entry is several months old, it may not be feasible to use the original receipt date due to the month being closed. Using the same original receipt date for the void entry and the correcting entry will insure that the accounts receivable aging schedule is reinstated accurately. Using a current date for the entries will impact the way that the invoices are aged. For example, if the original invoice date is dated January but the reversing entry is dated March, then the reinstated invoice will not show due until March when in fact it should show as unpaid in January.

Software Versions Prior to 8.5.0.1

First, you must reverse the original cash receipt entry from the wrong invoice. If the cash receipt did not pay the invoice in full, then a balance will be left on the invoice on the accounts receivable aging schedule. A negative cash receipt, dated the same as the original receipt, may be posted to the same invoice; this will bring the invoice balance back to its original total. If the cash receipt paid the invoice in full, then the invoice will have been removed from the aging schedule and you can not make a reversing entry against the original invoice. Instead, post a negative cash receipt to any invoice outstanding on the same job. In either case, be sure to post the reversing entry before going on. Next, enter the cash receipt to the proper invoice as you normally would and then post the entry. The net effect of both entries will be zero in all associated accounts.