Hi Irene,

From your reply, I assume your year end date is Oct 31st.

Thus indeed the 'Current year' pertains to the fiscal year ending Oct 31, 2009. The 'Next year' would be the fiscal year ending Oct 31, 2010, which you can open using the 'Create Next Fiscal Year' function. Then you can bring in your Payables or anything else dated in Nov 2009.

When all of your transactions for your year ending Oct 31, 2009 (apart from the accountants adjusting entries) have been entered, and you do not have to Unpost any batches from this fiscal year to make corrections, then you can run the 'Close Current fiscal year' function to officially close that year, and make the year ending Oct 31, 2010 the new 'Current year'.

The adjusting entries would be entered as a typical Journal Entry batch and posted using the 'Post to Prior Year' function. You can choose to post to a specific fiscal period in the prior year, or keep them separate by posting to the special 'Year End period', which is essentially 'Period 14'.

The checklist has the list of basic steps of what can be done and what happens. For sure, make a backup of your Ledger data (using the File / Backup menu) once before you Create your Next fiscal year, and again before you Close your Current year, in case anything unforeseen happens, as these functions cannot be undone once performed.