Specifically, the problem lies in how the year-end close handles the main account-resource financial dimension relationship when closing balances into retained earnings.

Illustration:

For balances posted to a main account with a corresponding resource dimension, e.g., 700000-700, the customer expects the year-end closure transaction to transfer these balances into the retained earnings account, updating both the main account and the resource dimension appropriately. For instance:

• 700000-700 (main account 700000 with resource ID 700)
• should transfer to:
• 670000-670 (retained earnings account 670000 with resource ID 670).

However, the system currently performs the following:

• 700000-700 is being closed into 670000-700 (the retained earnings account 670000 but retaining the original resource ID 700 instead of updating it to 670).

This results in incorrect postings where the resource dimension does not align with the new main account. This inconsistency violates the customer’s financial reporting rules, which require that the resource dimension updates consistently with the main account during year-end processing.

We have tested both "Close All Dimensions" and "Close Single" year-end close configurations. Neither configuration produces the expected result.

To address the incorrect postings, we have had to use the "Closing Period Adjustments" periodic task to manually adjust the dimensions. However, this process is:

• Labour-intensive, as it requires thousands of manual corrections due to the volume of transactions.
• Error-prone, as there is no Excel upload capability for adjustments in the closing period.