There are a few reasons why a cheque is cancelled:
First method: 1. Do a Cash Adjustment to debit back the money into Cashbook. When a cheque is issued, the amount will be deducted from cashbook, so when the cheque is cancelled, users need to return back the amount to the cashbook. 2. Create a Supplier CM (backdate to before opening date). This is because the journal transaction for the credit memo will be removed later. Only CM that is created before the opening can be deleted. 3. Credit memo is required even though the cash adjustment has been done because cash adjustment will only affect the finance cashbook, it will not affect the GL cashbook.
4. Delete the Journal Transaction for credit memo. Click here to learn how to delete the Journal Transaction. Only the Journal Transaction will be deleted, the credit memo will still remain in the credit memo listing. 5. Edit Set Opening Balance. Increase 'Cash & Bank' and 'Account Payable' by the cheque amount. Second method: 1. Create a Supplier CM (same date as the cancelled cheque) to eliminate the cheque entry.
2. Do a cash adjustment to insert back the amount of the cheque to the cashbook. Note:
Please read Best Practices for Setting GL Opening. |
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