Auto-reversal

Auto-reversal is an automatic function that occurs at period-end when received not invoiced (RNI) transactions are created.

• When Period Closing is run, a reversal is created. The reversal is posted by running Journal Posting . This process reverses the RNI postings for non-stock and special items from the previous period.
• At the end of the period, when you run Received, Not Invoiced Report in Update mode, non-stock and special item RNI postings are recreated. This process occurs when the received quantity is greater than the approved quantity.
• For each non-stock and special item, the expense account is debited and the received not invoiced account is credited.

The cycle continues each period for a purchase order line until the received quantity is no longer greater than the approved quantity. Received, Not Invoiced Report creates auto-reversal transactions.