buichristine5
Jul 21, 2009, 03:23 PM
What does it mean by "eliminating entry"?
ROLCAM
Jul 22, 2009, 04:58 AM
Eliminating entry means that the entry which is usually a Journal Entry is NO LONGER
Required. There is a very simple method to deal with this.
You just reverse the entry you want eliminated.
REVERSING an entry example:-
ORIGINAL.
DEBIT COMPUTER ACCOUNT $1,000
CREDIT BANK ACCOUNT $1,000
Being purchase of a computer.
REVERSED ENTRY.
CREDIT COMPUTER ACCOUNT $1,000
DEBIT BANK ACCOUNT $1,000
Reversing purchase of a computer NO LONGER
Required.