Running a year end involves many processes including producing and reconciling your reports and posting adjustments to your accounts. After running a year end routine these effect take place.Profit and loss balances are clearedWhen the Year End option is run, Sage Accounts checks all of the Chart of Accounts to establish which nominal codes are profit and loss codes. The balances, up to the end of the current financial year, on these profit and loss nominal codes are transferred to the Profit and Loss Account nominal code. This is 3200 by default and is in the Capital and Reserves section of the Chart of Accounts.Any balances remaining on profit and loss nominal codes relate to transactions posted for the new financial year. The balance on the Profit and Loss Account nominal code is adjusted...
Posted in: year end
