Understanding the Fiscal Year Close
As part of your year-end procedures, you must close your books for the fiscal year and run the Annual Close program. To close your books, you close these systems on the Company Setup form:
JD Edwards EnterpriseOne Accounts Payable and JD Edwards EnterpriseOne Accounts Receivable for year-end reconciliations to the GL.
JD Edwards EnterpriseOne General Accounting for retained earnings calculations.
After you close the fiscal year for these systems, you should run the Annual Close program (R098201). This sequence is suggested to prevent users from posting to the fiscal year while you are running the program or after you have completed running the program. Changing this sequence can cause integrity issues such as out-of-balance issues.
The Annual Close program:
Calculates and posts retained earnings for all ledger types for which the Close to Retained Earnings Account check box is selected in the Ledger Type Rules Setup program (P0025).
Entries that are posted to the retained earnings account are included in the final retained earnings figure.
Creates account records in the F0902 table for the new fiscal year for the AA ledger and budget ledger types.
Updates balance forward fields and prior year-end net posting fields in the F0902 table.
Regardless of the type of account, the system always updates the Balance Forward field in the F0902 table. However, the system does not show the balance forward amounts for profit-and-loss accounts in online inquiries or on reports that use AAI items GLG6 and GLG12. The system updates the Balance Forward field in the F0902 table to allow inception-to-date reporting, which is commonly used for job costing.
Prints the Annual Close report (R098201).
You can close the same fiscal year as often as needed. Multiple closings are often necessary to handle audit adjustments or unexpected final adjustments. If you close the fiscal year multiple times, the Annual Close program calculates and posts the correct balances without doubling or otherwise inflating balances. For example, if you run the program twice, balances are not doubled.