Issue/Symptom/Question

Why do the Revenue and Expense Accounts for 1/1/xx have beginning balances?

Why doesn't the Net Income match between the Balance Sheet and the Income Statement?

Environment

PENTA for Windows

Finance and Accounting

Trial Balance

Resolution/Fix/Answer

The revenue and expense accounts will have beginning balances if the Fiscal Year End does not complete correctly.

1) Request PENTA open the Fiscal Year 

2) Run the final Period Close

3) Run the Fiscal Close again

4) Run the Trial Balance and confirm beginning balances are zero

Example:

Fiscal Year 2017 was closed.  January 2018 Income Statement and Balance Sheet Revenue don't match.

Request 2017 be opened

Run December close again

Run 2017 close again

Run the January 2018 Trial Balance