Every transaction that you manually record by clicking the ‘Add Transaction’ option will be labelled as a Manually Added transaction.
The Categorized and Matched come into picture when you have statement lines either by configuring automatic feeds or by importing statements into Zoho Books. When you try to match one such statement line with an existing (manually added) transaction, then upon matching, the transaction will be labelled as a Matched transaction.
If the statement line doesn’t have a matching (manually added) transaction in Zoho Books, or if you do not wish to select one from the ones that are listed, you can instantly create a transaction and associate it with the statement line by clicking the Categorize Manually option. Such a transaction will be labelled as a Categorized transaction.
If there are no transactions that match the statement line, you are prompted with the Categorize Manually page.