Manual journal entry
A manual journal entry is an entry deliberately prepared and entered by a user rather than generated automatically from a routine transaction process. It is commonly used for accruals, depreciation, reclassifications and corrections. The preparer identifies the accounts, debit and credit amounts, period and explanation, supported by evidence and review. Manual journals are entered within software as well as in manual books.
Worked example
To recognise $300 of unpaid electricity, enter a $300 debit to electricity expense and a $300 credit to accrued expenses for the relevant period.
Common mistake
Manual does not mean outside the accounting system or exempt from controls; avoid overwriting a posted invoice when a traceable correction is required.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | F1 | Direct | July 2027–August 2028 |
| ACCA | F2 | Supporting | July 2027–August 2028 |
| ACCA | K1 | Direct | July 2027–August 2028 |