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Month-End procedures

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA FA – FIA FFA › Month-End procedures

  • This topic has 1 reply, 2 voices, and was last updated 5 years ago by John Moffat.
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  • March 8, 2020 at 3:31 pm #564902
    nikhi1esh
    Participant
    • Topics: 1
    • Replies: 0
    • ☆

    If a company prepares P&L and SOFP on a yearly basis; do they have to close their revenue accounts and transfer the balance to their P&L accounts during each month-end procedure and start the new month with a zero balance in the Revenue accounts?

    March 8, 2020 at 6:48 pm #564920
    John Moffat
    Keymaster
    • Topics: 57
    • Replies: 54806
    • ☆☆☆☆☆

    Although many companies do this, it is not a requirement and is not relevant for the Paper FA exam.

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