What happen if revenue, expense and dividends accounts are not closed when I closed the period?
Revenue, expense and dividends accounts must be closed every period. What might happen if that doen't get done?
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aPFW8CIBer4iKgacwZ5xHE
05/28/11 10:04pm PDT
Viewed by asker 06/05/11 12:13am PDT
Viewed by asker 06/05/11 12:13am PDT
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EDinVA
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05/29/11 10:29am PDT
Your P&L Statement for subsequent years will be inaccurate.
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05/29/11 10:31am PDT
By period, I presume you mean yearly. For these are not closed monthly.
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05/29/11 3:10pm PDT
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Hi Cardoso7,
I am not clear on what you are trying to ask. QB automatically closes Income and Expense Accounts at year-end. Jan 1st of each year will have $0.00 balance until transactions are recorded on that day.
If you are referring to setting a Closing Date each month - Nothing happens to those Accounts. Setting a Closing Date will prevent anybody from making any changes to any transactions on and before the Closing Date.
Laura Kaniuk - LJK Bookkeeping Services
