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there are times when you will want to issue a credit memo to an invoice lets say you have a customer that just isnt happy with your services and they refuse to pay one of your invoices you can actually leave it on the books for a while if youd like but eventually you might want to credit that off let me go ahead and show you how to create a credit memo the first thing that you want to do is look up the original invoice and see what it is that you charge them for to begin with Im gonna look at Red Rock diner and youll see theres an invoice for $70 here Ill just go ahead and open it up and youre going to notice that we charge them for pest control it looks like probably two hours at $35 an hour for a total of $70 now lets say the customer just wasnt happy with us and were going to just credit that invoice when we create the credit memo we need to use the exact same product or service that we charge for to begin with the way youre going to create the credit memo is come up her