WE have been told that an outlet in the house has reverse polarity, I thought that AC current could not be reversed in 110 outlets

The load does not know the difference, but some appliances and light sockets do care about polarity for safety reasons.

What has most likely happened is that someone has the hot lead on the neutral side of an outlet and vice versa. Every outlet on that circuit wired after the reversal will show reversed. Look at the outlets, black to brass and white to silver. With the exception of specific applications, plug in devices will work. There is polarity in AC, it changes 60 times per second(Hertz) .

In some situastions, i.e. lamp sockets (as referenced by Stan), if the hot (black) is placed on the connection for the shell (socket) a person changing the bulb will get a shock.

The shell of the scoket should have the Neutral (white) conductor connected to it.