What Are Closing Controls?
Closing controls are also part of the system code. Closing controls determine whether you must close the subsystem period before the general ledger period, the valid subsystem dates, and the number of open periods. Use closing controls to check for valid dates on subsystem entries and to ensure that all system activity is interfaced and posted to General Ledger before period closing.
Example
LGE has defined closing controls for the Accounts Payable application as follows.
| Control | Yes, they must close the Accounts Payable period before closing the General Ledger period |
|---|---|
| Valid Entry Dates | 02/01/00 - 03/31/00 |
| Open Periods | 2 |
If someone in the accounts payable department tried to enter an invoice with a post date of 02/01/99, the Accounts Payable application would prevent the entry because the date falls outside of the specified range. The dates validated by Accounts Payable include:
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Post Date
-
Payment Date
-
Cancel Date