Hello,
Situation: my company recently took over our payroll from another company. The other company was not invoicing us for the payroll expenditures for many months. This resulted in a large sum of money being owed to the company at the end of 2023 however the bill for the outstanding amounts were not provided to us until 2024. The bill transaction was entered into our system when we received it in 2024 for the 2023 payroll amounts owing. The cheque was issued in July of 2024.
Our auditor had provided us with the adjusting journal entry to capture the expenses in the correct year.
However, when running our budget vs actual report the amounts for last years salary still appear in the report after to journal entry to correct the amount. How do I correct this as it is showing our budget as being over?
