Hi Rees I'm doing some documentation on accounting on the OFBiz Wiki and have come across this problem. Here's the link to the time periods bit. http://docs.ofbiz.org/display/OFBIZ/05+Time+Period http://docs.ofbiz.org/display/OFBIZ/05+Time+Period
I would say that in general when you close a financial year you would want to move the profit into retained earnings etc (or if you pay a dividend or bonus or whatever) What OFBiz seems to do is that it does this movement transaction from P&L to Balance sheet whenever you do a period closing even if it's not at the end of the financial year. Personally I would have expected a period close only to stop you from posting to that closed period but technically speaking I dont think what OFBiz is doing is wrong. To solve your problem - I think it's a matter of mappings. The demo data doesnt come with GL Account Default mapping for Profit Loss (but it does have one for Retained Earnings). Here's how to fix it using an example from Hotwax Demo: 1. In Accounting Manager / General Ledger / Setup for Company 2. Select Chart of Accounts and Create an assignment to 801000 Income / Loss from Business Net of Expenses (if its already there it was me that added it in to perform the test!) 3. In Accounting Manager / General Ledger / Setup for Company / GL Account defaults 4. Go to GL Account Type Defaults (which is the first one) and add a mapping for 'Profit Loss' to the account 801000 If you now try to close a time period – it should post with one side of the journal going to Retained Earnings and the other to the Profit Loss Mapping. Hope this helps. Thanks Sharan Rees Watkins wrote: > > Hi > > I am attempting to understand the closing of accounting periods in Ofbiz > > In order to close an accounting period the system needs to make an entry > into Retained Income and a contra entry in a Profit and Loss account. > > The code seems to require an Account Type Id of "PROFIT_LOSS_ACCOUNT" > > However there does not appear to be an GlAccount of that type in the > system and so an entry is make into the Error Journal. > > Does anyone have know if this is an error and what I can do to resolve it. > > Thank you > Rees > > > > > -- View this message in context: http://www.nabble.com/Closing-an-accounting-period-tp22524554p22530511.html Sent from the OFBiz - User mailing list archive at Nabble.com.
