The first close tests data, processes, permissions and reports together. Treat it as an operational acceptance exercise and record what took time or needed manual work so the next cycle improves.
Before month end
- Publish a close calendar and deadlines for sales, purchasing and inventory.
- Assign a preparer and reviewer to every cycle.
- Review draft, held and incorrectly dated documents.
- Prepare bank statements and required counts or reconciliations.
- Open an issues log with impact, owner and resolution date.
Close matrix
| Task | Acceptance test | Status |
|---|---|---|
| Customers and suppliers | Control account equals detail | Not started / active / complete |
| Banks | Signed reconciliation and explained aged items | Not started / active / complete |
| Inventory | Approved quantity, value and differences | Not started / active / complete |
| Income and expenses | Reviewed cut-off, accruals and prepayments | Not started / active / complete |
| Manual entries | Evidence, approval and reversal when needed | Not started / active / complete |
| Statements | Consistent trial balance, statements and comparisons | Not started / active / complete |
After statements are produced
- Compare with prior month and budget or forecast.
- Review largest movements and unexpected-nature balances.
- Drill from report to ledger and document for a sample.
- Document later entries, their effect and delay reason.
- Approve statements and apply period locks under policy.
- Hold a short improvement review with three specific actions.
Measure the next month
Record completion date for each task, repeated differences, late manual entries and open issues. The aim is less rework with retained evidence, not a faster close at any cost.
Do not close a question with an unsupported estimate merely to meet a date. Record impact and the owner decision, or transparently carry the matter under business policy.
