Closing Books

First of all everyone need to know the exact meaning of closing book or closing entry in terms of accounting. Revenue, expense, and capital withdrawal accounts are temporary accounts which have to be reset at the end of the accounting period, so that they will have zero balances at the start of the next period. Closing books or closing entries used to transfer the temporary accounts into permanent accounts.

Closing book or closing entry should be done at the end of every fiscal year. After the closing entries have been prepared, the temporary accounts will reflect in retained earnings and an intermediate account called income summary is created from which revenues and balances are transferred to retained earnings account(capital). Dividend or withdrawal accounts should be closed to capital.



Numia, provides you easier way for closing your book, having 2 choices either you can close manually or automatically. You can manually close just by selecting yes in the “Require manual closing of books” option highlighted in the above screen shot. And it closes automatically if you choose no.

Following are the steps for closing of books :

• Select Company --> click preferences.
• Fill the details.
• Select Require manual closing of books as ‘YES’ if you want to close your entry manually.
• Default option will be set to 'NO' which automatically closes the account and adds new entry for the next financial year based on the fiscal month.

Why Numia is Online Software?

Numia allows you to access your files and perform your work online by the use of selected browser without limitations to place and time. The context of migrating your data and other work to the web is to enhance productivity and improve work efficiency. Many people are becoming aware of the importance of migrating your data and workstation to the internet.

Installing the accounting software to the local computer hard disk drive may be good if you are just using one computer for your business. This may be inconvenient and costly if you have multiple computers using the same business software because you need to buy one software for each computer you need to install unlike the Numia where anyone can access anywhere by their individual user names. Software limits mobility and most likely controls productivity because of user physical space limitations.

Numia allow you to collaborate, work your project online, and communicate in a secure medium online. This online accounting software practically saves time, money, and work force installing software to different computers across the globe.

If you do small business or large business, you don’t want to hire personnel for software and want to low cost account software. For that it is best that use Numia so you don’t worry about changing computers, storing the data and lost of data. Data in Numia is always secure. And important thing is you can access it at any time.

Happy Christmas