Here is a clarification on how to handle opening balances carried over to the new fiscal year. To delete or modify the opening balances carried over to the new fiscal year, you can follow the following:
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If the balances were added through manual journal entries:
- You can delete or modify the manual journal entries recorded from the Accounting section
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If the carried-over balances are the result of transactions recorded in the previous fiscal year:
- You cannot delete or zero out the carried-over balances directly.
- Verify the balance details by generating an account statement.
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In case of an error in the balances:
- Review and correct or reconcile the incorrect transactions using appropriate settlement methods (settlement journal entries, credit memos, debit memos, etc.)
Additional Notes:
- The opening balance is the total of all financial transactions that occurred before the report start date. For example, if a report is generated as of January 20, 2024, any transactions before this date are considered opening balances.
