Hi, I set up an account as a balance sheet account instead of income statement. At the year end the account wasn't closed to retained earnings. How do I correct this?

Thanks, Brenda

Hi Brenda

You can change the Account 'type' anytime you like as this will not affect the balance in the account - only how it is represented on your financial statements and how it gets treated at Year End closing (as you have discovered). However, if you do not have a backup prior to performing the Year End function, the only way to correct the amounts is through the posting of adjusting journal entries. We cannot tell you what specific journal entries to make, however we can make suggestions as to the options you have...

If you have the 'Enable prior year posting' option checked in the Adagio Ledger Company Profile-Options screen, you could create the journal entries and then post them to the prior year (by selecting the 'To Prior Year' function from the 'Post' toolbar menu option).

Now - if you do have a backup prior to performing the Year End closing, you could restore the GL data from that backup, make the necessary adjustments (i.e. change the account type), then go ahead and process the Year End again. This would be the ideal way to handle it, but would depend on how far into the current Fiscal year you are now, and how familiar you are with manipulating your data files. You may need to get assistance from either your Dealer or your Accountant before making a decision either way.

NOTE: You should always make a good backup prior to performing any post function!

Take care,