3.10.2 Period Closure

This topic explains the systematic instructions to create various period codes that correspond to a specific financial cycle.

Operational Ledger allows you to manage different period codes linked to a specific financial cycle. You can achieve this through the Accounting Period screen as well.

For each financial year, the system creates an open status period named FIN which aligns with the last date of the financial cycle.

Period Closure is the process of closing a specific financial period, which stops any additional transactions or entries from being made for that period. A period closure happens regularly, such as monthly or quarterly, to maintain financial accuracy.

To create a period closure

  1. On the homepage, click Menu and click Operational Ledger, and then click Operation. Under Operation, click Period Closure, and click Create Period Closure.
    The Create Period Closure screen displays.

    Figure 3-11 Period Closure


    Description of Figure 3-11 follows
    Description of "Figure 3-11 Period Closure"

  2. Specify the following details, for more information on fields, refer to the field description table below.

    Table 3-12 Period Closure

    Field Description
    Financial Year

    Select the financial year from the option list to view the first available open period code for the branch.

    Note: The field which are marked with Required are mandatory.

    Period Code

    Display the period code for the selected financial year.

    This function is designed to close a specific financial period, which stops any additional transactions or entries for that period. Before closing the period, the system checks the balances of both the Real and Contingent General Ledgers. Once all previous period are closed, the system proceeds to close the current period.
  3. Click Save to save details.

Parent topic: Financial Cycle and Periods Closure