This menu option is used to close fiscal period. It is located under the Operations menu of the General Ledger module. In j-guar application, period closing transactions are done after performing reflection transaction and preparing all ledgers and financial tables at the end of the year.
Period closing is performed over the balance sheet calculations. Income/expense and reflection calculations are not included in this transaction. Period closing is performed over balance - not over debt and credit amounts.
Period closing is performed by following the steps below.
1. All records of the relevant fiscal year are posted to General Ledger.
2. Reflection transactions are completed.
3. Official ledgers and financial tables are prepared.
4. Closing slip is generated.
5. Opening slip is generated.
The criteria which will apply for the period closing transaction are set in the filter lines of Close Fiscal Period window. The filter options are:
Filter | Value |
|---|---|
Calculation Year | Fiscal year specified in company definition (or 2 years earlier) |
Organizational Unit | Group / Range |
Chart of Accounts | Main Chart of Accounts / Second Chart of Accounts / Third Chart of Accounts |
Balance Sheet | Balance sheet selection |
G/L Slip Type (Opening) | G/L slip type selection |
G/L Slip Type (Closure) | G/L slip type selection |
Period Closing Method | By Organizational Unit / By Subsidiary |
After completing period closing transaction, closing slip is generated by Org. Unit for the last day of the calculation year, and opening slip is generated by Org. Unit for the new period.
If the "By Organizational Unit" option is selected in the Period Close Method filter;
- If the "By Subsidiary" option is selected for the e-Ledger in the subsidiary, the G/L slips are generated by the subsidiary.The organizational unit of the G/L transactions of the sub-unit is written on the line.
- If the "By Organizational Unit" option is selected for the e-Ledger in the subsidiary, the G/L slips are generated by the sub unit, where the e-Ledger user is selected.The organizational unit of the G/L transactions of the sub-unit is written on the line.
- If the subsidiary is not a user of e-Ledger, the G/L slips are generated for each organizational unit separately.
- The Transaction Currency transactions are evaluated separately.
If the "By Subsidiary" option is selected;
- The G/L slips are generated by the subsidiary, and the sub-unit organizational units are ignored in the line.Since there are no different organizational units in the lines, the related calculation is not written in the closing/opening slip if the account balance is zero.
- If the "By Organizational Unit" option is selected for the e-Ledger in the subsidiary, the G/L slips are generated by the sub unit, where the e-Ledger user is selected (without specifying the sub units in the line).
- The Transaction Currency transactions are evaluated separately.
Points to consider after and during the fiscal period closing:
- Fiscal period closing is performed considering the G/L slips in Approved status only.
- Transactions of G/L slips which are closed previously and for which a closing slip is generated cannot be modified.
- Users can generate G/L slips for the last 3 fiscal years even after running period closing for the date range specified inBatchtransaction and opening a new period. For instance, if G/L slips generated in 2010 are deleted after opening a new period for 2011, and user attempt to generate G/L slips for 2010, slips which are applied Batch operation in 2010 are not applied this operation again when the period closing operation is run. Only the relevant slips which are generated later are subject to this operation.
- Debt and credits which have the same account code in G/L slip are written under the oppositeheadingsinclosingslip.
- If the opening slip is Approved, closing slip's approval cannot be removed. Opening slips are not in Approved status when they are first generated.
- Closing slip can be deleted if it is not approved.
- Iforganizationalunitis not specified while running fiscal period closing transaction, the organizational unit specified for the slip line transactions is considered, and closing slip is generated for this unit. If there are transactions with different organizational units, multiple closing slips can be generated.