Use the End-Of-Period Update program to close the current fiscal period by updating the GL account file (ending balances) according to the information in the journal file.
A false update option allows the current period to close for financial report purposes only. It does not actually close the period.
The system determines if all modules that post automatically to GL have been closed for the period. If not, the system does not allow updating. It also determines whether the last period recurring/reversing/allocating entries were posted and displays the posting date prior to beginning the update.
During the false update, a new current ending balance for each account is calculated but no other updating occurs. This allows you to then run financial statements for the current period without actually closing the period. The false close-out may be run as often as needed until the true close-out is run.
During the true close-out, the current ending balance for each account is calculated from the previous periods’ ending balances and the journal transaction amounts. The oldest ending balance is dropped from, and the new ending balance added to, each account record. Note that expense and revenue accounts begin a new fiscal year with beginning balances of zero. All other accounts carry over their ending balance from the previous fiscal year. Journal records are then removed. If journal history is stored, the journal records are written to the yearly journal file and the program deletes the journal history from the oldest period stored. At the end of the update, the GL figures file records are removed. Also, the company period ending dates and period number advance to the next ending date and period (from the standard period ending dates record and period).
If there are any bank transactions for your company that have been updated but not run through the register, FACTS displays a message that the Bank Transaction Register must be run.
To access this program, click General Ledger> End of Period>End-Of-Period Update.
Click Field Descriptions for information on each field.
Closing the current fiscal period and update GL account file ending balances