Closing Receivables

At the end of every period, receivables transactions need to be completed and reconciled. Transactions also need to be transferred to the General Ledger and the period closed. In this recipe, we will look at the process of closing the period of March 2011 for Receivables.

Getting ready

Prior to closing the period, the following steps need to be completed:

1. 1. Reconcile Bank Statements in Cash Management and receivables adjustments processed, for example, bank interest.

2. 2. Complete all transactions invoice, adjustments, credits, reversals, and receipts.

3. 3. Reconcile transactions customer balances, transactions, receipts, and bank statements.

4. 4. We can use the following formula to reconcile the Period-End balance:

	Value
Outstanding Balance at Start of Period	X
Transactions for the period	X
Adjustments for the period	X
Invoice Exceptions for the period	(X)
Applied Receipts for the period	(X)
Unapplied Receipts for the period	(X)
Period End Balance	(X)
	Nil...