Month-End Close

This article will provide an overview of how cieTrade.net works with integrated accounting systems and the Month-End closing procedure. If you have an accounting system integrated with cieTrade, the idea is to leverage cieTrade to define top line gross profit and serve as a subsidiary ledger for sales and expenses. You will only use your accounting system to issue checks and print financial reports. 

Before you execute the month end close, take a look at the following guidelines of how cieTrade works to define your Month End accounting. 

Sales Invoices & Sales Adjustments

When posted to an online accounting system, these are intended to Debit A/R and Credit Sales.  

Purchases, Expenses, & Adjustments

When an AP Voucher is created in cieTrade and posted to an accounting system, it creates a 'bill' that is shown as Debit Accrued Payables and Credit A/P.

Month-End Close Procedure

Please note: You will need to do this in your account every month. This report is your top line gross profit in journal entry form. 

1) Navigate to Accounting > Closing Adjustments

2) Select the ' From' and 'To' date range. Click Go

Breakdown of the report:

3) Under SALES, it provides a summary journal entry to break out the Sales Accrual account to the revenue accounts.

4) Under EXPENSES, it provides a breakout of the A/P Accrual account to the expense distribution accounts.

Please note: After making this entry, the balance left in the A/P Accrual account should match the Open Payables Report in cieTrade. once the closing alerts are deducted.

5) Under INVENTORY. it provides the change in the value of the inventory for the period selected.

6) Under ALERTS, it provides the breakdown of outstanding items for the period.   Alerts 1 and 2 are used to reconcile the Accrued AP account in your accounting system.  Alert 3 is to advise of adjustments that have not yet been posted to accounting.

If you have additional questions, please contact the Support Team via email to  support@cietrade.net.