Duration 2 days – 14 hrs
Overview
This course provides a practical, end-to-end guide to executing an efficient and well-controlled month-end close. Participants will learn how to plan and manage the close calendar, perform key accounting closing activities (accruals, prepayments, reconciliations, revenue/expense cut-off), validate results, resolve common issues, and produce reliable financial reports on time. The course emphasizes controls, accuracy, audit readiness, and best practices to shorten the close cycle.
Objectives
- Understand the end-to-end month-end close cycle and key dependencies
- Build and execute a close checklist and close calendar with roles and deadlines
- Perform essential closing tasks: cut-off, accruals, deferrals, reclassifications
- Complete key account reconciliations and resolve reconciling items
- Apply internal controls to ensure accuracy, completeness, and compliance
- Run quality checks and produce month-end reporting packs
- Prepare for audit requests through strong documentation and working papers
- Identify improvement opportunities to reduce close delays and errors
Audience
- Accounting staff (General Ledger, AP, AR, Fixed Assets)
- Finance supervisors/team leads supporting close and reporting
- Shared services teams involved in closing activities
- Internal audit/compliance staff who review close outputs
- New accountants transitioning into GL and month-end responsibilities
Pre- requisites
- Basic accounting knowledge (journals, debits/credits, financial statements)
- Familiarity with chart of accounts and common transaction cycles (AP/AR)
- Basic Excel skills (filters, pivot tables helpful but not required)
- ERP knowledge (SAP/Oracle/NetSuite/Dynamics/etc.) is helpful but not required
Course Outline
Close Planning, Core Entries, and Cut-Off Controls
Month-End Close Overview
- Objectives: accuracy, completeness, timeliness
- Close ownership: RACI (who prepares/reviews/approves)
- Common close bottlenecks and failure points
Close Calendar & Close Checklist
- Designing a close timeline (T-3 to T+5 concepts)
- Task sequencing and dependencies (AP, AR, Payroll, Inventory, FA)
- Templates: close checklist, tracker, issue log
Cut-Off and Period-End Principles
- Revenue and expense recognition at month-end
- Cut-off testing: receiving reports, delivery notes, service completion
- Handling late invoices and incomplete documentation
Key Journal Entries at Month-End
- Accruals (utilities, professional fees, payroll, interest, rebates)
- Prepayments and amortization
- Deferrals and reclassifications
- Provisions and estimates (overview + controls)
Subledger to GL Integration
- AP/AR/Payroll/Inventory/Fixed Assets posting checks
- Identifying and resolving posting failures
Workshop
- Build a sample month-end close checklist and calendar
- Prepare typical accrual and prepayment journal entries
Reconciliations, Quality Checks, Reporting, and Audit Readiness
Account Reconciliations (Core Close Discipline)
- Bank reconciliation and cash controls
- AP and AR reconciliations (subledger to GL)
- Inventory reconciliation (if applicable)
- Intercompany reconciliation basics (if applicable)
- Clearing and suspense accounts: rules and follow-up
Fixed Assets and Depreciation Close
- Capex vs expense checks
- Depreciation run validation
- Disposals, transfers, impairment (overview)
Close Quality Assurance and Analytical Review
- Trial balance review and reasonableness checks
- Flux analysis (month-over-month variance review)
- Ratio checks and anomaly detection
- Review/approval controls and sign-offs
Month-End Financial Reporting Pack
- Minimum reporting set: P&L, BS, CF highlights
- Variance commentary: “What/Why/So what/Now what”
- Management vs statutory reporting (overview)
Audit Readiness & Documentation
- Working paper standards and evidence retention
- Audit requests mapping to close deliverables
- Common audit issues and how to avoid them
Close Optimization and Continuous Improvement
- Reducing close days: standardization, automation, checklists
- Reconciliation ownership and aging discipline
- KPIs: close timeliness, recon aging, number of adjustments, error rate
Capstone Exercise
- Perform a mini close simulation: entries + reconciliations + reporting summary
- Create an issue log and action plan for improvements
