1. when the original expense recorded:
Debit Credit
Expense $6,000
AP $6,000
2. JE made to correct the general ledger account:
Debit Credit
Expense $6,000
Expense $6,000
3. Credit the expense to subcontractor submitted monthly invoice:
Debit Credit
Expense $6,000
AP $6,000
As you can see, the expense was recognized in 2013 but never hit accounts payable. In order to make this payment , they reversed out the step 2 and recorded step 3. However, it caused the change of accounts payable for 2013. Year 2013 is closed and financial statement is done. So how to make a transaction by not affecting 2013 accounts payable and the payment can be paid on 2014. Thanks again for all your professional advice!!!