Period and year closing processes

A period close is processed within the context of a close configuration and is closed by ledgers and accounting entities and periods. Period close statuses are Limited Close and Final Close.

A year end close is processed within the context of a reporting basis which associates ledgers and accounting entities with a calendar. All periods in the year that are selected to be closed must have a status of Limited Close or Final Close before the year close action can process.

When no further backposting entries are created in a period for a ledger and accounting entity, you can assign a Final Close status to the period. The status applies only to the selected period, ledger, and accounting entity combination. No backposting entries are created to a period that is in Final Close status.