To close the retained earnings, you need to take the following steps:
1. Generate the Statement of Financial Position before manual entry:
2. Create manually Transaction (General Ledger) from Accounting > Service tools:
In case if Transaction (General Ledger) is hidden, add it in the Navigation panel settings (Accounting > Navigation settings):
Add the Transaction (General Ledger) to the Selected Commands:
3. Enter the details as shown in the screenshot:
DR Profit and Loss Account (8010000)
CR Retained earnings (3020000).
Take the Amount from the REPORT (p.1) and fill in the date of 31 December 2018.
Post the document to transfer of Profit to Retained earnings:
4. Once the entry is made, the values will be transferred to Retained Earnings and in the upcoming months, the profit will be accumulated on the Profit and Loss GL Account:
Note! It's necessary to do the same process every year-end to close it to Retained Earnings.
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