Month end closing

[Former Member]

Hi,

I have searched the forum for some information about period-end closing.

The customer I have is a Romanian subsidiary and they need to do month-end closing at the end of each month: the expenses and revenues accounts to get zero at the end of the month and the p/l account to be debited with the difference (revenues-expenses).

No other accouns should be involved and the p/l account should be used only once (not like a opening balance in the next month).

The trial balance that is printed at the end of each month has to have the expenses and revenues accounts on 0.

Is there any way I can do this with standard SBO?

Thank you in advance for all your answers.

Irina

[Former Member · Accepted solution]

Hi Irina

Yes you can. If you have set your periods as months, then on the period closing, select Period (which is the fiscal year), then set the from and to as period 1 to close the first period. In the next month select from and to period 2, and so on. This will create the journal entries to Profit and loss at the last day of each month, and from Profit and Loss to the Retained Income on the first day of the following month. If you do not want the second part of the posting to Retained Income each month till year end, then you can simply reverse the journals for the second part, although I would not suggest this. Remember to set the references and dates correctly before executing the period closing.

Kind regards

Peter Juby

[Former Member]

Hi,

To close the period monthly,

Prerequisites:

1. Month wise Posting Periods

2. Retained Earnings Account & Suspence Account in CoA

to Start new Numbering series monthly, need to create 12 period indicators.

Process:

use period end closing form administration module

Select the period, Retained earing a/c & suspence a/c

select Ok

System displays list of expense & revenue Accounts, Approve by clicking check box

and select execute

The JE would be passed by system for suspense & Retained account : The suspence account will show zero balance.

Regards,

Sandeep

[Former Member]

Dear Sandeep,

In this scenario, what after year change?

We have to create other 12 posting periods year wise?

Thanks,

Mohit Soni

[Former Member]

Yes