1. UBAX04 – Month/Year End Closing in Microsoft Dynamics AX (AX2009/AX2012) - How2
Presenter: Richard Draper
AX Solution Architect

2. Presentation overview
Month End processing – AX2009/AX2012 steps and procedures
Year End processing - AX2009/AX2012 steps and procedures
Typical issues and how to reduce processing times using standard features.
Includes new AX2012 features

3. Month End Closing
There is no magic month end “button” (consider using AX menu favorites/AX2012 case management/workflows)
Month end processes are module specific:
General Ledger
Tax
Bank
Fixed Assets
Accounts Payable
Accounts Receivable
Inventory Management
Projects (invoicing &WIP posting)
Production
WIP reports – projects, production)

4. Month End Closing – “Checklist”
Mandatory
“STOP” month for all users except finance. Now “On Hold” in AX2012
G/L - Post all open journals
Fixed Assets – Depreciations/acquisitions/disposals/bonus depreciations…
A/R and A/P - post pre-payments & accruals.
Inventory - close & adjust
Run reconciliation reports – General ledger to ALL modules
Reconcile between GRNI and GL
Reconcile inventory module and GL
Bank reconciliation & bank reconciliation report
A/R & A/P aging reports
Print and review trial balance
Print and review financial statements
Finally -“STOP” month for all users (ONLY close when financial statement is closed – no more transactions!! – Cannot undo!!
Optional
G/L or A/R and A/P - Run exchange adjustments
Tax reports/payment
EU Sales list & Intra-stat reports
Consolidations & Eliminations
Run Interest calculation
Produce collection notes
Update exchange rates
Update tax exchange rate (E.Europe only)
A/P Accrued purchases report
A/R Shipped not invoiced
Budget analysis reporting
Expense and invoice processing
Note “new” inventory reporting framework - report and reconcile Inventory and WIP values on one report.
Replaces the SIX individual reports and manual adjustments, which were required in previous versions (pre April 2010)

5. Year End Closing – “Checklist”
Pre-requisites
Complete ALL month ends
Carry out year end activities
Fixed Asset depreciations
Tax reporting/payment
Run Inventory Close and Adjust to end of year
Run Year End
Backup data
Create new fiscal year
Run AX2009 year end
Create B/S closing/opening transactions
Calculate BS retained earnings from P&L
Reset P&L balances to zero.
Produce year end financial statements
Send statements to Auditor
Adjust ledger if required by Auditor
Consider Posting layers – current tax/operations or 13th period
Rerun Year end
Set ALL periods to “Closed” (Be aware Close means Close. Only close when your financial statement is closed!!)
Optional
Rerun consolidations & Eliminations
Run 1099 reporting (US)
Reset number sequences if required

6. Year End Closing process
G/L Parameters
G/L  Periodic  Fiscal Year End Close  Opening Transactions

7. Reduce month end processing times
Take time to review and implement STANDARD AX2009/AX2012 features within:
Chart of accounts/Main accounts setup
Journal Names
Journal approval
Intercompany journal posting
Journal control
Journal posting restrictions
Dimension Set Rules/Account structures (advanced rules)
Allocation and allocation rules
Accrual Schemes
Consolidations
Eliminations

8. Reduce month end processing times
Chart of accounts/main accounts setup
Locked in journal
Ledger account db/cr setup
Closed for posting
Offset account
Validation options
Mandatory Reference

9. Reduce month end processing times
Journal Names including:
Journal Approval
Ready/Approved/Rejected
Intercompany journals
Journal Control
Posting Restrictions
Reduce month end processing times

10. Reduce month end processing times – Journal control/Posting restrictions

11. Reduce month end processing times
Also consider:
Dimension set rules & hierarchies
Allocations and allocation rules
Accrual Schemes
Consolidations
Eliminations

12. Reduce month end processing times
AX2012 “dimension hierarchy control” - via Account Structures
and Advanced Rules

13. AX2009/AX2012 New inventory value (reconciliation) report
Note “new” inventory reporting framework - report and reconcile Inventory and WIP values on one report. Replaces the six individual reports and manual adjustments, which were required in previous versions (April 2010)

14. Time saving features in AX2012
Account structures and advanced rules
Shared currencies and COA’s
Unlimited dimensions and auto populated dimension values
Distribution Templates
Pre-posting validation of sub-ledger posting
Ledger account alias
Pre-payments in AP
Workflows
2/3 way matching - improved

15. UBAX04 - Month and Year End Closing in Microsoft Dynamics AX - How2
Any questions?
Richard Draper - AX Solution Architect