Defining Accounting Calendar

General Ledger -> Setup -> Financials ->Calendars -> Types

Oracle General Ledger provided standard period types, but we can create our own period types to suit the companies operational and reporting requirements. Certain companies use 14 periods calendar where the 1st & 13th period would be an adjustment period and have the first day & last day of the financial year as the period range respectively.

The 13th period is used for yearend closing activity, while the 1st period is used for year opening balances.

In oracle General Ledger each ledger has a dependent Accounting Calendar.

NOTE: It is identified that if you user different calendars with non-identical periods for actual and budget/Forecast , FSG reports will have problem retrieving data.

general Ledger is equipped to create actual closing journals for year-end and other closing periods. This functionality can be secured by utilizing the data access sets feature. The data access set controls the access to those ledgers where full read and write access is assigned.

To process year-end closing journals

Set up the last day of the fiscal year as an adjusting period.

Set up the first day of the new fiscal year as an adjusting period.

Ensure the period that is closed is an Open period.

Complete all routine accounting before the last day of the year.

Post all adjustments and closing entries in the adjusting period.

In the last adjusting period of the fiscal year you want to close:

Run the Create Income Statement Closing Journals process to transfer income statement year-end account balances of your revenue and expense accounts to the retained earnings account.

Run the Create Balance Sheet Closing Journals process to close and zero out the year-to-date balances of all balance sheet accounts: assets, liabilities, and owner's equity.

NOTE: The Data Access Set assigned to your responsibility controls whether or not you can run the closing journals programs against a ledger

In the first adjusting period of your new fiscal year:

Run the Open Period program to open the Opening adjustment period of the New Year.

Reverse and post the balance sheet closing journals to reopen those balances.

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