End of Month Close Out
GLAP - Entry of Accounts Payable to General Ledger
The Accounts Payable entries are held in an accounts payable file. When closing out the general ledger, post the Accounts Payable entries for the month you are closing to the general ledger using the GLAP program. You can view all the contents in the file by choosing option #1. This program will transfer in all of the entries made using the APE and APRE programs and also the Accounts Payable check disbursements made during the month using the APCP program. This can be done by transferring all of the entries to the general ledger using option #2, or by transferring just the entries made during a specific time period using option #3. These will be transferred by the date of the invoice/credit memo, checks by the date checks were printed, and voided checks by the date check was voided. If you have entered invoices or written accounts payable checks that you do not wish to be included in the month you are closing, use the entry by date. The transfer of the accounts payable file must be done before you close out the month on the general ledger.
NOTE: If you have been using the Accounts Payable program in BSMGR, and are just starting to use the General Ledger, you may have a lot of information in the GLAP file that does not need to be sent to the General Ledger. See # II. Clear GLAP File of Entries Included in the Beginning Balances. (Number II above)
SLP - Transfer Sales to General Ledger
Before transferring the sales to the general ledger, you need to check in the SYStem Config File, #3 = Cash Register Config, and make sure that you have all the general ledger accounts set up correctly. You must transfer in the sales using SLP and choosing "Y" to send to the General Ledger. This transfers to the general ledger all of the sales made for the month and also accounts receivable charges and payments, layaway charges and payments, credit card charges, and paid outs entered at the point of sale. This program also takes a percentage of sales out of inventory and puts the amounts in cost of goods. When SLP is printed and sent to the General Ledger, you will get the print out showing the accounts and debit and credit entries that were sent to the General Ledger. Make any corrections on your deposits before you send to the general ledger. If this isn't done you will need to make an adjusting entry to correct the deposit amount.
Multi-Stores will need to transfer the Sales Journal information to Store #1, the store doing the General Ledger. The Sales Journal information may be taken to Store #1 via the BBCP program (Optional Program), or via floppy. To do this via floppy:
1. Store #2 runs the BSMGR program "SLUL", choose "Export" and for the filename type in: "SLUL.SEQ", then company #2, and appropriate dates.
2. Store #2 puts in floppy and runs WFSLUL at a DOS or UNIX prompt.
3. Take floppy to Store #1.
4. Store #1 puts in Store #2’s floppy and runs RFSLUL2 at a DOS or UNIX prompt.
5. Store #1 runs the BSMGR program "SLUL" , choose "Import" and for the filename type in "SLUL.SEQ".
After transferring Store #2’s information to Store #1, you will need to send to the General Ledger using the SLP program choosing Store #2.
If you are using this program, you must run the recurring entries - GLRE program to transfer to the general ledger any recurring entries you have set up in the recurring accounts maintenance - GLRM program.
GLE - Reconciliation of Bank Statement
Reconcile your bank statement and balance to your checking account in the general ledger. Using the SLP print out for the month, make sure the deposits on your bank statement are the same as what you have entered on your sales report. If the deposits are different, make the adjusting entries on your general ledger using the GLE program. Also, make any other adjusting entries from your bank reconciliation on your general ledger using the GLE program. You also must enter your office checks on the general ledger using the GLE program. You may make the adjusting entries using the general journal. Enter the account number, reference (if entering office checks, use the check number), the date change occurred, the amount of the change, and a description (if entering office checks, to whom the check was written). You must always have a counter entry to balance the general ledger. (If entering office checks, the other entry would be a credit entry to the cash account number.) When entering a credit amount use the minus sign. The reference number or name, the reference date, and the description will default to the last succeeding entry. Before you close out the month you must enter any adjusting entries to balance your checking account to your bank reconciliation. One of the adjusting entries could be insufficient checks charged back to your account. You could debit accounts receivable trade account and credit your checking account. When you receive back the money for an insufficient check, you could make an extra deposit and code it to accounts receivable trade as a credit and debit your checking account. Or you could ring up the money at the point of sale using the miscellaneous department #40 = Returned Checks. Other adjusting entries could be service charges, check print charges, or automatic transfers. These would be debited to the correct account (bank charges or interest, office supplies, or accounts payable note) and credited to your checking account. Other adjusting entries could be for extra deposits. These would be credited to the correct account and debited to your checking account. The discounts on the credit card charges would also need to be expensed. Debit credit card discounts and credit the cash account.
Make any other adjusting entries using the GLE program. If this is the last month of your fiscal year, you will need to make any end of year adjusting entries before you set up for new month. (Do NOT make entries in the 13th month close of year.) Note: The end of year adjusting entries may be entered on Adjustment (Prior Period) Journal after the end of year has been completed.
Run the GLTB - Trial Balance to see if your general ledger balances. This will print and will tell you at the end if you are in balance. If you are not in balance you will need to find out where you do not balance and correct. Note: GLTB MUST be run.
Print out the income statement using the GLIS program.
Print out the balance sheet using the GLBS program. Check the income statement and balance sheet to see if there are any errors in posting. If something is coded to the wrong account and you need to correct, make the correcting entry using GLE. If any entries are made after you first run the trial balance, you will need to start over with the trial balance - GLTB, income statement - GLIS, and balance sheet - GLBS. Note: You may print the income statement and balance sheet as many times as needed.
Print the general journal using the GLPJ program.
Print the general ledger using the GLP program.
- Set up for new month using the GLS program. This clears out the entries for the month and shows the balance forward for the next month. This MUST be done before any entries are made for the next month or you will have two months combined together. .After GLS set up for new month is run, you will be ready for the next month's entries.
- If this is the last month of your fiscal year, you should make any adjusting entries for the year before you set up for new month. Or you may close the last month of the fiscal year, close out the end of year, then enter the adjusting entries in the Prior Period Journal at a later time.