Functions of Period Close Process
The period close process performs a number of functions:
- Closes the open period for Inventory and Work in Process
- Creates summary or detail inventory and work in process accounting entries in the general ledger interface
- Calculates ending period subinventory values
Closes Open Period
The period close process permanently closes an open period. You can no longer charge transactions to a closed period. Once you close a period, it cannot be reopened.
Creates Summary or Detail Transactions for All Accounts
Depending on your inventory parameters, the period close process creates summary or detail transactions by general ledger account for posting to the general ledger. The period close process transfers the following information:
- work in process transactions
- period costs for expense non-standard jobs
- depending on the selected options, the remaining balances for repetitive schedules
Calculates Ending Period Subinventory Values
For each subinventory, the period close adds the net transaction value for the current period to the prior period's ending value. This creates the ending value for the current period.
See Also
Closing an Accounting Period
Unprocessed Transaction Messages
