How To: Preparation for Month End Close
Overview
This tutorial describes the steps that need to be completed immediately before initiating a Month End Close.
Video
Table of Contents
- Purchase Orders
- Sales & Order Processing
- Inventory
- Accounts Receivable Open
- Accounts Payable
- Service (if applicable)
- A/R Installment (if applicable)
- A/R Revolving (if applicable)
- Rental (if applicable)
1. Purchase Orders
a. Open P/O Summary (04-60)
Using this report, process any purchase orders that have been physically received but not yet received in Tyler. Purchase Orders that need to be deleted can be cancelled through P/O Maintenance (04-50).
b. Receiving Register/Update (04-12)
Print and review the Receiving Register and verify that all received purchase orders are updated.
c. Received Not Invoiced (04-44)
Review this report for accuracy. It lists all received purchase orders for which the invoice has not been processed. The total dollar value on this report is used later in the inventory reconciliation process so it is important that the information is accurate.
2. Sales & Order Processing
a. Negative Quantity Report (03-67)
Run and review this report and correct all negatives before beginning the month end process. Inventory Valuation will be understated by the negative cost if this is not completed.
b. Pending Transfer Audit, Shipped Not Received (03-11-20, 03-11-21)
If your company uses the long method of transfers, use these report to verify that all open transfers have been processed to their current physical status or updated if applicable.
c. Inventory Adjustment Update (03-10-02)
Verify that all entered adjustments have been updated in this selection.
d. RDB (32-01)
Run the RDB Report ‘$INV1’ and review it for blank costs. On inventoried items, this affects the inventory value report at month end. The command list should be maintained on this report as needed.
3. Inventory
a. Negative Quantity Report (03-67)
Run and review this report and correct all negatives before beginning the month end process. Inventory Valuation will be understated by the negative cost if this is not completed.
b. Pending Transfer Audit, Shipped Not Received (03-11-20, 03-11-21)
If your company uses the long method of transfers, use these report to verify that all open transfers have been processed to their current physical status or updated if applicable.
c. Inventory Adjustment Update (03-10-02)
Verify that all entered adjustments have been updated in this selection.
d. RDB (32-01)
Run the RDB Report ‘$INV1’ and review it for blank costs. On inventoried items, this affects the inventory value report at month end. The command list should be maintained on this report as needed.
4. Accounts Receivable Open
a. Updates
Verify that all of the following have been updated:
- Cash Rec. Audit/Update (12-02)
- Adjustments Audit/Update (12-04)
- Transfer Audit/Update (12-06)
- Transaction Maintenance (12-21) (print a hard copy)
b. Error Accounts
Check all error accounts in Account Activity and move all transactions to the appropriate accounts using Transaction Maintenance (12-21). Then print a hard copy. Until corrected, customer accounts and A/R statements will not be correct.
- 9999999
- F999999
- R999999
- *######
5. Accounts Payable
a. Invoices and Office Refunds
Verify that invoices and office refunds for the current month have been entered (11-01) and all batches are updated (11-03).
6. Service (if applicable)
a. Open P/O Report (07-46-09)
Delete all Purchase Orders that are not valid through P/O Maintenance (07-46-01). Receive and update any parts purchase orders that have been physically received but not yet received or updated in Tyler.
b. WO Status Report (07-13)
Print this report and verify that all open work orders are valid. Use Work Order Maintenance (07-06) to cancel or maintain any work orders if necessary.
c. Work Order Finalization & Audit/Update (07-04, 07-05)
Finalize and update any completed work orders (7-4 & 5).
7. A/R Installment (if applicable)
a. Updates
These steps are part of daily processing and only AFTER sales days are updated. These steps will not apply on any day not at an X status in sales 2-1, thus during month end prep make sure all days are updated in 2-1 before this final check.
Verify the following selections have been updated:
- Cash Receipts (13-2)
- Item Adjustments (13-4)
- New Contract Update (13-6-1 & 2 & 3)
8. A/R Revolving (if applicable)
a. Updates
Verify the following selections have been updated:
- Cash Rec. Audit/Update (14-2)
- Adjustment Audit/Update (14-4)
- Charge Entry (14-6)
- Transaction Maintenance (14-21) a hard copy must be printed.
9. Rental (if applicable)
a. Updates
The following selections are a part of daily processing and should have been completed as contracts & returns link back to open sales days for the current month.
Verify the following selections have been updated:
- Cash Rec. Audit/Update (22-2)
- Adjustment Audit/Update (22-4)
- Audit & update Contract (22-6)
- Audit & Update Return (22-7)