The Profit & Loss accounts are individually cleared against the Retained Earnings
account.
Source of Earnings
Each Profit & Loss account is individually cleared against the related Source of
Earnings account. You can use this method to view the composition of the total
profit for the year, for example, what percentage of the total profit is from
operating profit, extraordinary profit, and so on.
Total
All Profit & Loss accounts are cleared directly against the balancing account that
you select in the Finance Company Parameters (tfgld0503m000) session and the
total amount on the balancing account is posted to the Retained Earnings
account.
Individual Accounts with Closing Balance
The Profit & Loss accounts are individually cleared against
the balancing account that you select in the Finance Company Parameters (tfgld0503m000) session. The balancing account is cleared against the
Closing Balance account. The non Profit & Loss accounts are also
individually cleared against the Closing Balance account.