Year End Close in AX 2012

While waiting at the KL airport for my flight to Mumbai, I tested the functionality of Year End Close on my VPC with various scenarios and situations. Here are the findings:

• If the Voucher number is given at the time of processing the year end close, the same voucher number will be used for Closing and Opening transactions.
• If you wish to run the year end close again and if you give the same voucher number, then the system complains and asks for new voucher.
• If you give the new voucher number and the 'DELETE CLOSE OF YEAR TRANSACTIONS DURING TRANSAFER' is checked in GL parameters, and after that you run the process as discussed in the step above, then the system deletes the opening and closing transactions generated as a result of previous closing exercise and then creates new transactions for this run.
• Significance of 'DELETE CLOSE OF YEAR TRANSACTIONS DURING TRANSAFER' as mentioned in AX training books is as follows: Delete Close of Year Transactions during transfer check box to delete open transactions and system-generated closing transactions when a transfer is repeated. This can process the transfer multiple times if it is necessary but only creates one opening entry. If it is clear, the previous transfers are not deleted. Instead, the system transfers the net adjustments compared to the last time that a Transfer is performed. This allows for the tracking of historical transfers, but many transactions are created.
• If you wish to reverse the year end close transactions, then run the process again with a new voucher number and by selecting 'RESET'.
• After RESET, the previous transactions related to year end will be deleted. The Close-of-year transactions Report will be empty.
• Once the transactions are reversed, you can run again the Year End Close for the same year with the same voucher number.
• If 'CREATE CLOSING TRANSCTIONS DURING TRANSFER' is unchecked, closing transactions are not printed in the Close-of-year transactions.
• Significance of ''CREATE CLOSING TRANSCTIONS DURING TRANSFER' as mentioned in the AX training books is as follows: Create closing transactions during transfer check box to create closing transactions for all the ledger accounts, including the profit and loss accounts, when running the opening transactions job. This does not mean that it transfers profit and loss balances but it creates closing transactions only.
• If 'VOUCHER NUMBER MUST BE FILLED IN' is not selected in GL parameters and voucher number is not entered while running the year end close, then the transactions are created without the voucher number and Voucher Number field is empty when the Close-of-year transactions is printed.
• Significance of 'VOUCHER NUMBER MUST BE FILLED IN' a mentioned in the AX training books is as follows: Voucher number must be filled in check box to enter a voucher number when opening transactions are created for a new Fiscal year.
• Suppose you have to run the year end close procedure for many years and if you decide to run the year end closing randomly (.i.e. closing 2012 first and then 2011), then the system allows it and will not complain, but figures generated out of it will be completely wrong. This was just tried as part of negative testing. In a real world no one will close the years randomly.
• Also if you try to run the year end process for the year where there are no transactions, the Close-of-year transactions report is empty, but the system still gives the message: 'The transactions for the fiscal year 20??-20** have been created'.
• The End Date should be the last day of the Fiscal Year. (.i.e. 31/12/2013) and the Period Name (which is system generated) should be Period 13. (The closing period).
• 'SET THE FISCALYEAR STATUS TO CLOSED' if checked in the GL Parameters, system ensures whether all the prior periods are closed (HARD CLOSED) or not. If they are closed then it allows the system to close the year and if they are not closed, then system complains and displays the message, 'Fiscal Year that ends with date 31/12/20?? is not closed'. Period 13 (Closing Period) must also be CLOSED.
• If the system has run the Year End Close process with the setting as mentioned in the step above, then system CANNOT Reset the transactions. If you try to do so, then the system displays the message, 'Fiscal Year that ends with date 31/12/20?? is already closed'.
• Opening period (Period 0) of any Fiscal Year is always CLOSED by default and only system is allowed to post in that period. Transactions posted in Period 0 are of type Opening.
• Closing Period (Period 13) of any Fiscal Year is always ON HOLD and should be changed to OPEN while posting the Closing Sheet. After the Closing Sheet is posted, the user should put the Closing Period status back to ON HOLD without fail. Transactions posted in Period 13 are of type Closing.
• Transactions posted in Periods from 1-12 are of type Operating. (Somewhat off topic, but the reason for mentioning about Opening, Operating and Closing is that while configuring the reports in MR, when we specify YTD, it means Opening + Operating AND when we specify YTD/BB, then system looks at only Opening.)
• Even if the Closing Period is ON HOLD, then also the while running the Year End Close (Opening Transactions), its not necessary to change it back to OPEN. System posts the closing transactions in that period even if it is ON HOLD.
• If there are certain open transactions that are still not posted and if you are running the Year End Close for that year then the system displays the message: 'The Journal ****-!!!!!(Daily) contains not posted transactions with a date before end of fiscal year 31/12/20??'. In such a scenario, either post the transaction or delete the transactions and try the year end close procedure again.

Thanks!

AXAPTAMANIAC