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The tutorial explains how to create free text invoice corrections for posted invoices. Correcting an invoice creates a new corrected invoice where modifications can be made. When posting the corrected invoice, a canceling invoice is created to balance the original and corrected amounts to zero. The demonstration includes verifying the license configuration key for free text invoice correction, making corrections on invoices, and showing how the correction process works. The process involves selecting the correct invoice button and adjusting incorrect prices on the invoice.