Navigation:  Journal Entries >

Unusual journal entries

Previous pageReturn to chapter overviewNext page

Journal Entries can be used for unusual accounting situations. As an example, if you have issued a sales invoice to a related entity that will not pay the invoice. Instead of the sales invoice remaining as outstanding forever it can be transferred to a loan account, as payment of the invoice. Debit a loan account in the name of the related entity; credit Accounts receivable and select the sales invoice.