We are still on GL 8.0

I closed our fiscal year without error and then needed to post a batch to the previous year. After doing so, I saw that amounts posted to balance sheet accounts had an offset to the retained earnings account.

Upon investigation, I discovered that all of the balance sheet accounts in the new fiscal year were changed to income accounts. The old fiscal year is still correct and I am positive that the accounts were correct after the close.

Has this ever happened to anyone else? Is there something that I should beware of or need to change? Don't believe it could be done by an outsider as software is only installed on individual computers and used by myself and two other staff members. They would need to know passwords to sign onto any of our computers, then an id & password for Adagio. Also, what would be the point?

We already have a lot of activity in the new fiscal year so can't restore to pre-closing status but I have two options:

a) do a backup recovery from a couple of days ago and change all the balance sheet account statuses, then post the prior year entry. This is mostly because I can't unpost a prior year batch. I would also have to ensure that any batch posted after I posted the prior year batch is re-keyed and I would have to archive any unposted batches somewhere's that I could retrieve them later.

b) do an entry that just affects the balance sheet accounts impacted (only 2) and the retained earnings.

Which is the better option? The second one seems like a lot less work but I am always concerned that there is something going on in the background that I don't know about.

Or is there another course of action I should be taking?

Hello Linda,

What process do you follow to "close your year"? Do you create a new chart of accounts? (some people do). That's the ONLY way that your account types might have changed. Accounts cannot be balance sheet accounts in one year and P&L accounts in another unless they are in different data sets. Sorry.

Is the issue really only what happened when you posted to the prior year? I would post a reversing entry to the prior year and then change the account types, making sure that your trial balance, balance sheet and income statement are printing the way you want.

BTW - year end in Ledger V9.0A is MUCH simpler. Just select "open new fiscal year" and keep on going. Subledger batches are automatically assigned to the correct fiscal year when they are retrieved.

Hi Linda

You can't change the status of a GL account once it has passed thru year-end, so option (a) is not available.

Option (b) doesn't solve the problem of your accounts having the wrong account type.

Your best bet is to restore your GL from prior to year-end, and continue from there. As for the current year activity, it is not hard to unpost each batch, archive each unposted batch, and then copy the archive batches over to the restored data and bring the batches out of archive. Tedious, but not hard. There are tricks I use to unpost and repost multiple batches, but I doubt you have access to those tricks.

I don't see any other alternative.

As Andrew mentioned, you could have avoided all of this by using version 9.0A.

Steve