As per the accounting principles, a contra entry is a transaction involving transfer of cash between one cash A/c to another or one cash A/c to another bank A/c i.e., is a transaction indicating transfer of funds from : * Cash account to bank account. * Bank account to cash account.contra asset account, because its credit balance is contra to the debit balance for an asset account.

Above screenshot represents the contra invoice in that invoice adding the ledger name, amount, withdraw mode, reference number generate the contra.