Why do you need to re-class a journal entry?

You generally re-class an entry in your financial books if it has been wrongly placed against a certain account. An example of this an expense that was related to a project grant that was classed by your Finance Department on unrestricted dollars. You'd re-class it so you can have the real numbers of expenditures from certain grant lines or financial sources and prevent the misappropriation of disbursements. Hope this answers your question. -A from New York, NY