Acumatica ERP has provided tools to make life easier for you. Sometimes an Invoice gets released that is later found to have and error. In Acumatica, you can easily reverse the Invoice. On other occasions, you may find memos that have been created and released but not applied to any other transactions. Those memos can easily be applied once the accountants decide what transactions they need to be applied to.
Acumatica makes it easy to correct an Invoice that was entered incorrectly. Maybe it was entered in the wrong period or in the wrong company. Regardless of the cause, we can make quick work of fixing the problem using the tools provided by Acumatica ERP.
We start the demonstration by looking at an Invoice that is Open status, but there is a problem with it and we need to reverse it. Under Actions, we click Reverse. The system creates a Credit Memo that offsets the original Invoice - for the right customer, period, amount, GL Accounts, and all we need to release it. Once released, we see that the Credit Memo is in an Open status, but nothing has been applied. We wanted to tie this to the original Invoice and have the two documents offset each other. So, simply reversing the Invoice did not accomplish what we wanted to-do. We will address how to fix this later in the demo.
Before we leave the Invoice notice if we try to Reverse the same Invoice a second time, we get a warning telling us that we have already reversed the Invoice and what Credit Memo is related to the reversal.
I created a copy of the original Invoice and this time instead of clicking on Reverse, we are going to click Reverse and Apply to Memo. This does almost exactly the same thing, but the Applications tab of the new Credit Memo is filled in with the information from the Invoice being reversed. When we release the Credit Memo, both the Credit Memo and the Invoice are in a Closed status and reference each other on their Applications tab.
Both the original Invoice and the Credit Memo we created when we clicked the Reverse action are in an open status. We need to apply them to each other and get them to a Closed status.
Ont he original Invoice, if we look at the Actions available, the only thing that looks like it will work is the Enter Payment/Apply Memo action. When we click it, the system shows us the screen to enter a new payment. That’s Not what we are looking for.
If we start with the Credit Memo and click the Enter Payment/Apply Memo action, the system opens the Credit Memo on the Payments and Applications screen. Here we can select our Invoice on the Documents to Apply tab. The amount that is added in the Amount Paid column will match up to the amount of the Credit Memo amount. Since these two documents are related, the amounts match and offset one another. When we release the Credit Memo, both the Credit Memo and the Invoice are closed.