Year-end journal

To provide a full audit and ensure data integrity, a year-end procedure generates journals for the close of each accounting year. A closing journal zeroes out all profit and loss accounts in an adjustment period that is separate from normal trading periods. An opening journal brings forward the balances for all balance sheet accounts in an adjustment period that precedes the trading periods for the year.

The year-end journal procedure is usually run after the last period of year is closed, when all adjustments for that year are finalized.