Year End Closing Training Tips for NAV
Posted by John on December 29, 2010
NAV Training Tips: Closing a Fiscal Year Part 1
Before you start the Year-End Closing you’ll want to know the answers to the following questions. This will help you prepare for your Year-End Closing steps.
Question: What are the three main steps of completing the year end closing process?
Answers:
- Post the general journal.
- Transfer the Income Statement account balances.
- Close the fiscal year.
Question: What occurs after the Close Year process is run?
Answers:
- Subsequent entries posted in the closed year are marked as prior-year entries.
- The Closed and Date Locked check boxes in the Accounting Periods window contain check marks that cannot be changed.
- Period lengths of closed periods cannot be changed.
Question: How Do I Post in a Closed Year?
Answer:
- The Close Income Statement batch job must be run and then the transferred entries must be posted.
Question: What happens during the Close Income Statement batch job?
Answers:
- Transfers the income statement account balances to an account in the balance sheet.
- Creates lines in a journal.
- Closes the income statement accounts.
Question: What type of account are closing entries transferred to?
Answer:
- Retained Earnings.
Question: What occurs when posting the journal containing the closing entries?
Answers:
- An entry is posted to each income statement account so that its balance becomes zero.
- The retained earnings accounts are updated for the gain or loss.
Question: In the closing process, what occurs when an additional reporting currency has been set up in the General Ledger Setup window?
Answer:
- The journal is automatically posted when the Close Income Statement batch job is run.
Question: What is used to transfer the income statement account balances to a balance sheet account?
Answer:
- Close Income Statement batch job.
Question: What must occur to prevent users from posting in a closed period?
Answer:
- Set a date range in the General Ledger Setup window.
Now that you know the answers to these basic Year-End Close questions you’re ready to start the steps. Check back Thursday to see the first steps in the Year-End Close process in MS Dynamics NAV. For more tips and training for NAV, check out our Webinar MS Dynamics Training Schedule.
Note: The same steps are used in both Ceres and eFood as outlined above for MS Dynamics NAV.

