Year End Closure
Year End Closure
LEARNING OBJECTIVES:
Understand Methods Of Year End Closure
Once the financial year comes to a close, we have to enter the transactions in the new financial year either as a new data file or as a continuation to the existing file. The balances of customers and vendors have to be re-instated and reserves needs to be started fresh. These transactions need to be done in Moiboo once the financial year ends.
Understand Accounting Entries To Be Passed At The End Of The Year
At the end of the year, the following accounting entries need to be passed.
- Journals for Depreciation
- Journals to transfer Revenue Reserves
This section discusses the Journal entries to be passed.
Learn How To Export Or Segment Previous Year Transactions
A new Financial year needs to be created in Moiboo carrying forward all the closing balances. This can be done automatically in Moiboo. Let me show you how this is done. Once this is done, it is recommended to freeze the transactions of that financial year.
This section shows you how this is done.
