How the GEC looks on the General Ledger

On the general ledger, the General Error Correction e-document creates two sets of entries:

  1. A reversing set of entries against the original transaction:
    • If the entry or entries being corrected are expenses, a credit for each entry will be created by the GEC. 
    • If the entry or entries being corrected are income entries, a debit for each entry will be created by the GEC.
  2. A new set of entries to reflect the correctly intended transaction:
    • If the original entry or entries are expenses, a debit entry or debit entries would be created by the GEC.
    • If the original entry or entries are income entries, a credit entry would be created. 

GEC Accounting Lines

Accounting Lines in GEC

General Ledger Original Entries and the Reversal Entries

Account Transaction Report original and GEC correcting entries

New Entries to Correct Full Accounting Unit

The Correct lines in the new account