End of Fiscal Period Tasks Checklist

Inventory Management is a crucial process that involves tracking and maintaining an up-to-date record of all items in stock. This includes monitoring quantities, recording receipts and shipments, and identifying any discrepancies or losses. The primary goal of inventory management is to ensure that the correct quantity of products is available to meet customer demand while minimizing waste and overstocking. It also helps to prevent stockouts, which can lead to lost sales and damage to reputation. Additionally, inventory management enables businesses to make informed decisions about purchasing and stocking products, optimize storage capacity, and streamline logistics operations. By implementing effective inventory management practices, organizations can reduce costs, improve efficiency, and enhance customer satisfaction.

This process step involves managing financial transactions related to suppliers and customers. It includes verifying invoices from vendors, processing payments, and ensuring timely payment of outstanding accounts payable. Additionally, it entails receiving and recording customer payments for goods or services provided, as well as tracking and reconciling customer balances in the accounts receivable ledger. The Accounts Payable and Receivable process ensures accuracy and efficiency in managing financial obligations to suppliers and customers. This step is crucial in maintaining a healthy cash flow and ensuring that business operations run smoothly. It involves collaboration with various departments such as purchasing, logistics, and customer service to ensure seamless transactions.

This process step involves consolidating tax-related transactions and accruals across all entities. It includes reconciling accounts payable and accounts receivable to ensure accurate financial reporting. Accruals for taxes are calculated based on projected income and expenses, while taxes already paid or owed are accounted for in the current period. Any differences between actual and accrued taxes are identified and adjustments made accordingly. This step also ensures compliance with relevant tax laws and regulations by maintaining accurate records of tax payments and liabilities. The output from this process is used to inform financial reporting, including the preparation of income statements and balance sheets.

This process step involves calculating and recording depreciation and amortization expenses for intangible assets such as patents, copyrights, and software development costs, as well as tangible assets like property, plant, and equipment. The calculation typically involves multiplying the cost of the asset by a predetermined rate or percentage, taking into account its useful life. For instance, if a company purchased a piece of equipment costing $100,000 with a useful life of 5 years, the annual depreciation expense would be $20,000. Similarly, amortization is calculated for intangible assets over their specified lifespan. The resulting expenses are then recorded in the financial statements to accurately reflect the asset's decreasing value and the related costs incurred by the company.

The Closing Entries process step involves finalizing all financial transactions for an accounting period by updating general ledger accounts to accurately reflect the company's current financial situation. This includes transferring revenues and expenses to their respective balance sheet and income statement accounts, adjusting for any discrepancies or errors in prior periods' transactions. The goal is to ensure that all accounts are up-to-date and accurately reflect the business's true financial position at the end of each period.

This step involves reviewing the work completed in the previous stage to ensure it meets all requirements and specifications. The reviewer will verify that all necessary information is included, calculations are accurate, and any relevant documents or references are properly cited. Once the review is complete, the approval process begins where the work is assessed for quality, completeness, and overall fitness for purpose. This step may involve obtaining feedback from stakeholders or subject matter experts to ensure that the work aligns with their expectations and needs. The final outcome of this step will determine whether the work can proceed to the next stage, be revised based on feedback, or require additional work to meet requirements.