QuickBooksclosing entry is used to reconcile transient accounts at the end of the year to transfer earnings and expense bills to the Retained profits. This is a
very essential component and has to be performed carefully. We are looking to
‘zero out’ profits and expense accounts after which upload fiscal year’s net
income to the retained earnings.
QuickBooks is different traditional software programs, as there's no proper closing done at the giving up of the month/year. Your data is
saved for all time in QuickBooks until you decide to Condense it. Accordingly,
improperly closed books mean that the present facts are at risk of all users
who see it, that is the employees can make changes to the previous year’s
records.
