Nominal accounts are split into profit and loss (P&L) or balance sheet types. P&L accounts typically have a P&L year end code set. If this is blank, the system uses a default code.
When you run the year end for the nominal ledger, the turnovers for P&L accounts update in bulk to the appropriate year end account.
This updates the year end account directly without posting a transaction. P&L balances and turnovers then reset to zero for the coming year.
Review the values
To review the values, you can run the year end journal report. This report shows the totals transferred to the year end account for each profit and loss account.
To run the year end journal report:
Click Financials then select Reports.
Select Transactions.
Click the eye icon next to the Year End Journal report.
Enter the Year End Journal Ref (entered as "YEARxxyy" where xx is the start of the financial year and yy is the end of the financial year, e.g. YEAR2122 for a financial year that started in 2021 and ended in 2022) then click OK.