How to Zero out Variances accounts?

[former_member250611]

Hell Experts,

Can you explain me in details the impact of below listed accounts

Account Code	Variance Account	Balance
50300704	WIP Variances	-325,05,627.96
50300705	Stock Revaluation Gain/Loss	-1,063,357,190.13
50300703	Stock Offset Difference	-450,37,529.99
50300702	Price Differences Account	8,13,730.49

Since this balances are showing a Negative balances , how will i rectify this?

I want to zero this out and start with New entries in database and see the impact

please suggest how do i go about this?

Thanks in Advance.

Regards

Altaf

[frank_wang6]

Those are operating accounts, you should zero them out at the end of a period to reflect those things on your B/S. I would suggest you to talk to your accountant to see the process.

Frank

[former_member250611]

Hi

Thanks for you suggestion,

But my question is that, this accounts are showing negative balances due to which not able to understand what is going wrong,

So I was thinking that zero this accounts to one temporary account

For this I am asking for process that how should I do this?

What entry do i need to pass?

Once balance becomes zero, then I am planning to run full cycle from Sales order_production_Delivery to see the effect of journal entries

Your help will be appreciated

Regards

Altaf

[frank_wang6]

http://www.aetherconsulting.com/workspace/resources/pdfs/howto_year_end_closing_90_en.pdf

Basically, when you run period closing, those kind of account will be zeroed out by B1 itself.

BTW, account has negative balance is normal.

Frank