Sequence of Period close

[kommineni7]

Hi ,

while closign the peiods, we will follow up the below sequence. what is the reaon behindit..

Payables
Purchasing
inventory/wip
Order Managment
Receivables
Assets
Recievables.
projects
CM
GL..

Thanks in advance,
Venkatesh

[kommineni7]

Can some body hlep on the below issue..



Thanks in advance,
Venkatesh

[apsara]

hello

Here are the sequence in which month end process performed.

Payables(AP) --- CM must be reconciled before running AP MONTH END

Purchasing (PO) --- AP must be closed before running PO MONTH END.

inventory/wip (INV)--- CM,AP, AR, PO, FA must be closed before running INV MONTH END.

Order Managment

Receivables(AR) -- CM must be reconciled before running AR MONTH END.

Assets(FA) -- AP and AR must be closed before running FA MONTH END.

projects

Cash Management (CM) -- standard bank reconciliation task.

General Ledger (GL) -- CM AP AR PO FA and inv must be closed before running.

regards
APS

[kommineni7]

thanks APS,

but little bit confuse about the

INV/WIP clsoing - it will be cloased after ap.. or it will close after ap, ar, fa?

[shaikjohnpasha]

To my knowledge the sequesnse is :
Inv-->PO-->AP-->FA-->GL

Can any one clarify with reasoning.