Does Workday create a journal entry for a customer refund as soon as it is created and the business process is complete?

In Workday, a journal entry for a customer refund is not created immediately upon the completion of the business process. Instead, the creation of a journal entry is typically contingent on several factors, including the review and approval of the refund transaction. This approach allows for a more controlled and accurate financial process, ensuring that all necessary validations and checks are performed before posting to the general ledger.

If a refund requires further approvals or is part of additional related transactions, the system may delay the creation of the journal entry until all criteria are met. Thus, the timing of when the journal entry is generated is not automatic and depends on the circumstances surrounding the refund process, which aligns with business requirements for financial accuracy and compliance.