Cancel a Cheque {FCTM-5}

In this option, the subsystem allows the user to cancel a cheque and the transactions linked to it.

The procedure is described on the screen, and consists essentially of finding (entering) the cheque number to be cancelled.  The system displays the cheque detail on screen and the cursor automatically moves to the field: “Enter (Y)es to cancel this cheque” and press <SAVE>.

A cheque can be cancelled only if it is not matched to a bank statement and has not been cancelled already.  If it can be cancelled and it has not been posted to GL yet, it is written with the exact same transactions to CT and the corresponding subsystem but with negative amounts.  If it has been posted to the GL, a cash book journal is created, with a new transaction type, CB cycle and GLA's.  It is also written to the corresponding subsystem.  Multiple transaction types can be linked to event CQ as described in detail in the Codes Structure manual.  All cancelled cheques are matched to bank statement 0.

It is important that transactions are cancelled while systems are in the same cycle to avoid an imbalance during reconciliation of the cashbook.

System Operational Definitions (SOD) ‘ND’ for Sub System ‘SD’ and SOD ‘NS’ for Sub System ‘AR’ (Cancelled cheques marked as ‘No Show’ Y/N’) are set up to control the printing of cancelled cheques on statements.

If a Student Debtor cheque is cancelled and SOD ‘ND’ is set to ‘Y’, the transactions will be marked as ‘(N)o show’ and will not appear on his statement.

If an AR Debtor cheque is cancelled and SOD ‘NS’ is set to ‘Y’, the transactions will be marked as ‘(N)o show’ and will not appear on his statement.

• Procedures:
• None