Problem:
Apparently each year company A receives a 401K True up invoice base on last years adjustments. Adjustments such as employee percentage contribution change which will affect the percent the company matches. This was never caught in the accrual probably because of how the report is ran from the system. Type a memo explaining why an adjusting journal entry needed to be booked to expense since the True-up invoice was posted to the accrual account. Remember the management your working with is fairly new to the company. The individuals that were responsible for this left the company unexpectedly.