Commonly you want to wait for full audit is done and get the auditors to sign off your accounts before 'closing the year end'. With UNITS, you have full authority on your accounts and should comfortably run this utility. All you need to do is make sure that you have specified the right company code and that the next year end date is correct. Press RUN and you are good to go. It doesn't take more than a few minutes (sometimes seconds).
What this program does is that it closes each GL account for the previous Financial Year. Depending on the account type, if it should carry forward balances, it will post a carry forward balance in the new Financial Year. For P&L types they will be posted against Retained Earnings. You should have a smooth carry over across the Financial Years.
Should there be any Audit Adjustments required after you have run this utility, you can simply post GL Journals Type 'Last Year'. The system is smart enough to post into the previous year and at the same time post the correcting entry either on Retained Earnings or opening balances for the new Financial Year.
So if you have entered into a new Financial Year, you should run this utility NOW!
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