Adjusting Previous OPEN fiscal year

[MannyM]

Our (ex)CPA instructed us to post journal entries to record the abandonment of fixed assets. However, her instructions came (and were implemented) when we were already on our current fiscal year. Therefore, the losses for the abandonment show in the financial statements of the current fiscal year (ending next month April 2004), although they should actually show in the previous fiscal year ending April 2003 (which is still open), but which Peachtree requires us to close before letting us enter any new data. How do we accomplish this adjustment. Please be as detailed as possible since we are still looking for a new CPA and right now our non-accounting staff will have to do this adjustment.

Thank you.

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[Rick Johnson]

It sounds like whate happened is the CPA gave you the correct journal entry but just failed to tell you to change the accounting period to April 2003 before you made the entry.

If this is just in Peachtree (not FAS-Fixed asset accounting), the solution should be fairly simple since the year is still open in which you wish to make a change. Find and delete the entry you made according to the CPA. Then re-enter the same entry after you change your period back to April 2003 and enter with a date of 4/30/03.

Good Luck,

Rick