How to correct a payment that was transferred to an incorrect cash account

Accounting
1

Hello

In early 2019 I tagged a bank transfer to the incorrect cash account (we have 2 for some reason), this means I now have a balance in a cash account that should not be there. I need to move £400 from bar sales but cannot do it via a journal as this requires both a debit and a credit, I do not need to credit it as it should have gone against the original cash transfer and not posted against bar sales. So basically I have posted that we have £400 more in bar sales than we actually did so need to remove it, is there a way to do this without unlocking the period (I cannot do this as we have reported on the year already).

Thanks
Amanda

2

No there isn’t a way to do it without unlocking the period unless you add a new transaction and call it a correction.

But there has to be a debit and credit side, you can’t have one without the other. It wouldn’t balance otherwise

When you originally tagged a transfer to the wrong account there would have been a balancing side to that tag.

Locate where that balancing side came from and use that to correct it

3

Hi Paul

That’s great thank you.

Amanda