Reverse Posted A/P Checks

This program can be used to reverse a posted Accounts Payable check.

• A reversing journal entry is generated with transactions that credit the 'Bank', and debit the 'Accounts Payable' control account as well as the 'A/P Discounts Taken' account if applicable.
  These transactions post to the G/L when the check reversal report is accepted.

• The vendor's invoices that were paid by the check will become unpaid and any discounts taken will be reversed, in the A/P sub-ledger.
  The invoices that are now unpaid retain their original invoice dates to maintain accurate aging of the vendor's account in Accounts Payable.

• The uncashed check that has been reversed will be marked as VOID and moved to Cashed Checks.

• If the Activate G/L Posting By Division feature is activated in Support Application Parameters, the G/L transactions generated from the Reverse Post A/P Checks utility will be assigned the divisions corresponding to the original Post A/P Payments transactions that are now being reversed.
  If the 'Division Posting' feature is not activated, the Debit and Credit reversing transactions will always post to the Head Office (blank) division.

VENDOR #

Enter the Vendor #, or enter the first few characters of the vendor name (ALPHA KEY) to list matches in the search/selection pop-up, or search for the vendor in the Vendor Search window.

The vendor name will display.

CHECK #

Type in the check number or select the check from the window.

CHECK NUMBER SEARCH Window:

The check selection window lists only posted checks for this vendor in check number sequence, with the G/L bank account number, invoice date, invoice amount and the payee.

The list can be resorted by any column in ascending or descending order, by clicking in the column heading.
Columns can also be dragged and dropped to reposition them as required.
When check numbers are re-used, the checks are listed separately by sequence number and can be distinguished from each other by date and amount.

Note: Checks that have already been reversed or have been marked as cashed in Check Reconciliation cannot be re-reversed and are not displayed in this selection window.

Reversal Error:
If the same Check number and date combination has been used multiple times, and one of these checks needs to be reversed a warning is triggered that the reversal was not successful because the G/L postings cannot be balanced between the multiple checks of the same number.
Instead the posted check needs to be reversed manually as outlined in Manually Reverse Posted A/P Check.

BANK ACCT#

The G/L bank account that will be credited with the check reversal is displayed.
This field is information only.

SEQ #

The sequence number to distinguish between multiple checks with the same number is displayed.
This field is information only.

CURRENCY

The vendor currency is displayed. This field is information only.
The reversing transactions for A/P, bank, and discounts, will be posted to the G/L accounts determined for this currency in Default Accounts.

POSTING DATE

The Posting Date defaults to the original Check Date unless this date falls in a closed accounting period as defined by the Date Range set for module APCH and the operator does not have Date Range override permission in Operators.
In this situation where the Check Date is outside the Date Range allowed for APCH, then the Posting Date defaults to today's date, and can be over-typed within the range if required.
This allows checks to be reversed without requiring a rebalancing of a closed accounting period.

The Posting Date will be used to post this check reversal to the General Ledger an A/P sub-ledger and prints.

Accept the Reverse Check Information?

Click the ACCEPT button to initiate the reversal process and to print the Reverse Posted A/P Check report, or click the CANCEL button to abort the reverse check process.

CONFIRMATION SCREEN to accept Report and to continue Posting:

Confirm if the report has been generated successfully:

Click YES if the Reverse Posted A/P Check report printed successfully to post the reversing G/L transactions as of the Posting Date and to mark the invoices as unpaid in the A/P sub-ledger. This hardcopy can be used for an audit trail.
The reversal can be verified in Vendor Account Inquiry.
The reversed check is moved from Outstanding Checks to Cashed Checks and is flagged as VOID.

Click NO if the report did not print successfully, or if the reverse check process should be aborted.

If the check has been printed but has not been posted, use Reverse Unposted A/P Check to reverse it.

Posting Control:
The Reverse Posted A/P Checks program and the is designed to be run by one operator at a time per batch, and not at the same time as the Check Reconciliation.
Locking will occur if an operator did not exit one of these posting programs correctly.
A Posting Control Information warning will appear on the screen and only operators with Security Role permission to reset the Check Reconciliation or Reverse A/P Checks flag will have access to the RESET button that unlocks the programs.
Whenever the posting control flag for Check Reconciliation or Reverse Posted A/P Checks is reset, record is written to the Delete Log for the Function APAC04A.