Financial Calendar Closure – An overview

Introduction

Most business organizations require financial statements either for statutory purposes or for analysis of the financial progress of the company. Financial Books closure is a prerequisite before generation of any financial statements.

Closing of a financial year or period indicates that no further postings can be made to the closed year or period and thus ensure that no manipulations are made to the financial books after the statements or reports are published. This is handled through Financial Calendar Closure. For closure of the books of the company, the individual departments in the company have to complete all transactions pending for processing or for posting into the financial year or period which is to be closed. This will be handled through Business Function Group Closure.

Feature Highlights

• Validation for completion of BRS of all banks and reconciliation of all Inter FB (Finance Book) accounts and Inter Company accounts at the time of Finance Book closure for the year.

• Closure of financial period and finance book at a centralized place from where the period closure and book closures can be handled for all the BFGs at various company- Organization Units and Finance Books.

• Facility to ensure that all unauthorized vouchers are authorized and all failed vouchers have been processed in Journal Voucher Component. BFG closure will perform such checks as to closure in respect to its respective BFG components.

• Supports sequential closure of financial periods and years and multiple financial period closures at one instance.

• Provision for closing the finance book (Finance Book Calendar) with/without other components interacting with it being closed.

• Provision to freeze the closing balances of a period on final closure, update the opening balances of the next period and automatic zeroing of all profit & loss accounts and transferring balance to Retained earnings a/c on Actual closure.

• Provision to close Finance book for the purpose of MAC, to allow incorporation entries before Final Closure of Finance book, for a financial period or year.

List of Activities