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period closing

Former Member
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Hi,

can any one clear me what is the necesiaty of closing the period each month?

what are (mm & fi)records update by closing the period?

Regards

venkat

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

Hi,

We can say for following reason period closing is required:

1. For identifying period for the purpose of Account reconcialiation.

2. For the purpose of financial statements publishing we should define particular period.

3. For auditing purpose.

4. To restrict unwanted entries which may get posted if period is not closed.

5. For declaring various account balances to Govt. authorities.

Thnx

Nilesh

Answers (3)

Answers (3)

Former Member
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Hi,

thank you for ganesh ,nilesh and kishore.

my doubt is cleared

Former Member
0 Kudos

Hi

Some data (stocks and certain valuation data such as total value, total stock, valuation class, price control indicator, and price unit) is managed by period. For values and goods movements to be posted to the correct period, the period must be set whenever a new period starts. This is done with the period closing program RMMMPERI or transaction MMPV

Once the system is in productive operation, you normally run the period closing program once a month at the beginning of a new period. This program sets the new period, making it possible to perform goods movements with reference to the new period.

Once the period has been closed, it is no longer possible to make postings to what was the previous period (that is, what is now the period before last).

You can allow this by executing MMRV

Thanks & Regards

Kishore

Former Member
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Hi,

evry month the accounts are settled in each compnay for that Periods are used.

Period should be used by FI to settle the accounts in the same month.

FI consultant will configure the Opening period and closing period of the Company code.

Configuration of period

*****************************

Go to SPRO-> Financial Accounting> Financial Accounting global settings> DocumentsPosting period.

Tcode : MMRV -Allow posting period

Enter the company code:

To check the current period , previous period

Allow posting period.

normally FI consultant will close the period and open the next period

*,T code: MMPV.--Close period*

While invoice verification period should be open.

Period should be used by FI to settle the accounts in the same month.

G.Ganesh Kumar