Quickbooks question: If I void a credit memo, the original customer balance will show back up right?

Quickbooks question: If I void a credit memo, the original customer balance will show back up right?
So we had a customer who charged some services. He decided not to pay them. A while later after attempts to collect, our accountant advised me to write the amount off by issuing a credit memo for the amount owed. Now the customers family wants to pay it for him. My thinking is to void or delete the credit memo I issued so his balance comes back up and I can then apply payments. Is that right? I went to quickbooks help and they told me how to actually void the transaction, but not what happens to the balance after that action is taken. I'm VERY new to quickbooks and bookkeeping, please help!
Oh and I have quickbooks pro 2005 if it makes a difference.


Answers:

Brenda M:  Hi Ashlie:

Yes, the easiest way is to void (or reverse) the previously posted credit memo and then you'd have a place to post the payment once you've received it.

Be well
2008-03-07 06:31:24
Chosen Answer
pccents:  I am not sure why he would have told you to issue a credit memo for the unpaid balance because then it would show in QB as paid, which makes no sense, beacause you would need to take that as a loss at the end of the year when you do your taxes. But, yes delete the credit memo so that the balance shows as open again in Open Invoices. You should call a second accountant at a different place or call QB if you have tech support and ask that question as well to get a 2nd opinion. Hope that this helps, feel free to email me with QB questions, I have been using it for years, I am on QB Pro 2006 version but I can still help.
2008-03-07 06:33:09
VS4Hire - Custom QuickBooks:  My 2 cents worth - he told you to issue a credit memo agaist the original invoice (I'm hoping) by using an item along the lines of "Write Off" or "Bad Debt" that then points to an expense account of the same caliber - this way you show the income and then the "Bad Debt" as an expense.

What concerns ME is the actual dates of these transactions. If the credit memo was issued before 12/31/2007 then I would personally recommend considering that whole transaction CLOSED. Then create a whole new invoice for the new payment you've just received. You would not be "double dipping" as you're are set to treat that as a -0- transaction in 2007 (XXX income - XXX Bad Debt Expense = 0)

Thanks!
Michelle
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2008-03-07 14:47:34
dyna05babe:  You will void the transaction. When you do this the balance will then show due.Then show the payment.
Usually when you asked to issue a credit to clear a balance this means a write off and that is usually done as a journal entry not a credit. Luck it was done as a credit and is easier to reverse.
2008-03-08 08:04:49