End of Year Procedure - Nominal

This procedure opens up a new year for the company. As discussed earlier you may have to do this shortly before the actual year-end for ‘forward postings’ in the sales and purchase ledger. You do have to run this option prior to the year-end processes in the sales and purchase ledgers and stock control.

I Haven’t Finished My Postings Yet

The diagram below shows the effect of the year-end procedure on the accounting calendar.

The actions the ‘End of Year Procedure’ undertakes are:

To move all actual and budget figures for the current year back by one year

To move the old year’s actual figures back one year further still in the file

To clear all the current year’s actual and budget figures

To post the closing balances of all balance sheet accounts in the old year (which was the current year) as the opening balances for the new current year

To accumulate the net value of the closing balances of all profit & loss accounts in the old year. This it posts into the opening balance for the balance sheet profit and loss control account (defined in the nominal system profiles)

To move the accounting calendar forward one year

To ‘set’ the sales, purchase and stock ledger periods into their same period, but now in the previous year

On selection of this option the system displays the accounting year date ranges for the current and previous years plus the date range of the new year to be created. It also displays the account it will use to post the accumulated profit (loss) from the P&L accounts.

You are first prompted to ensure you have a backup.You should always take a security backup prior to running this procedure.

After confirming you have indeed taken a backup you are prompted to begin the year-end process.After you give the go ahead the system proceeds with the nominal year end and, when complete, gives you a status of the accumulated profit (loss) posted. <Enter> then returns you to the menu the year end having been completed.

Non-Monthly Periods