Creating a Reversal

To completely reverse an application:

1. Create a Reversal Application:

• Open the application to reverse.
• Click Create Reversal.
• The system creates a reversal application (e.g., “4-R”).

2. Negative Values:

• The reversal contains negative values in Column E.
• These offset the original application amounts.
• Net effect is to zero out the original application.

3. AR Credit Memo:

• The reversal generates an AR credit memo.
• The credit reduces the customer’s balance.
• Original invoice and credit both remain in AR history.

4. Resubmit Corrected Application:

• After reversal, you can create a new application with correct values.
• This becomes the next sequential application number.