Simple questions from newbies

Hi Gurus,
Please kindly state the examples of month end reconcilliation done between AP,GL and AR and PO.
Secondly, why will i want to Reverse Accrual,Reclassification and temporary adjustment journals, Please "Gurus" explain each.
Thirdly i reversed an unposted journal,what effects does it have or do i need to post both original and reversed together.

My 2 cents here.
We only reverse expense accruals and not inventory accruals. The reason is when we receive the inventory purchases, we have material (inventory account) that we have not paid for yet (inventory accrual). In PO shipments we decide whether we accrue on receipt or not. For inventory destination and inventory items, it is must, but inventory items to expense destination, expense items to expense destination and no item purchases (service), we can turn it off. Which means though material or service is received, you do not have any evidence for the material or service you have received (because there is no accounting created even if you have received in system).
To estimate your expense accruals, you run a program which generates your expense accruals between your expense accrual account (cr) and account entered in the PO distributions (Dr.).
When you match the invoice to PO the same account entered in the PO distribution will be debited again crediting your liability account.
This will be double accounting entry for this account, if you do not reverse.
Thanks
Nagamohan

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