I have posted an invoice and printed a cheque to the wrong vendor and I would like to reverse (void) the cheque but I would also like it to change the status in the vendor transactions. How do i do this? In summary, I would like bank rec to show the cheque as reversed/void then I would like the vendor in Payables to show this cheque was not processed (change year to date total)

When you reverse a check for a Payables vendor in BankRec, this does the processing required there but the same check still needs to be reversed in Adagio Payables within the Check Reconciliation function. This can be made easier if you edit the BankRec bank code and in the Payables integration area, choose to 'send pending status' to AP.

When a check is reversed in AP, the original check remains but an 'RC' (reversed check) transaction is applied to it, and invoices that were paid by that check are restored. What status were you hoping to see on this reversed check within vendor transactions?

Vendor statistics (period to date, year to date and activity) are not updated by reversing checks. The reason is that for period/year to date stats, there is no guarantee that the check was originally posted in those periods. It may have been in a previous period or year. And the activity statistics (most recent payment/date, etc) can't be restored to the 'next most recent' payment as that information isn't kept in the system.

You can manually edit period/year to date statistics back to what they were, so you are not stuck with the totals.

We have changed the Bankrec code to Send Pending Status. The BankRec Reconciliation posting journal is Posted however when looking at the vendor transactions in AP it still does not show that the incorrect payments is a reversed cheque.

Also, where does it show that the reversed cheque details are actually reversed. My BankRec posting journal shows that the bank account is debited and the AP clearing is credited.

Hi Benita,

You still need to go into Adagio Payables, open the Check Reconciliation function, and post the pending statuses that were sent from BankRec. It is posting in Payables that will affect the vendor transactions, and also the GL accounting (AP clearing being debited and AP control being credited).

The actual payment transaction will remain and it doesn't get a status change. Instead, a new 'RC' transaction will be created for the vendor with the same check number so that it is matched.

That worked. Now we have an outstanding amount in the Vendor. We dont want the invoice to be outstanding, we want it deleted. Does that mean now I have to create a credit invoice to clear it out?

Hi, Benita,

Yes, that will do it. Within an Invoice Batch, create a Credit Note. Make sure that you match it to the original invoice by selecting it from the Original Invoice field and enter it for the same amount.

The invoice will be matched and its Current Amount will change to zero. When Period End is run with a Transaction Clearing Date of the date of the Credit Note, both the invoice and credit note will be moved to history.

Hi Benita,

You can do this (reversing both a "cash invoice" payment and its associated "cash invoice") in a single step in the recently released Adagio Payables V8.1B.