Auto-reversal

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

Received, Not Invoiced Report (PO135) creates auto-reversal transactions. The following describes the auto-reversal cycle:

• When Period Closing (GL199) is run, a reversal is created. The reversal is posted by running Journal Posting (GL190). This reverses the RNI postings for non-stock and special items from the previous period.

• At the end of the period, run Received, Not Invoiced Report (PO135) in Update mode and non-stock and special item RNI postings reappear where the received quantity is greater than the approved quantity.

• For each non-stock and special item, PO135 debits the expense account and credits the received not invoiced account.

The cycle continues each period for a purchase order line until the received quantity is no longer greater than the approved quantity.