1. Check the accuracy of accounting data
Review daily journal entries
Verify the balance of ledger accounts
Check the accuracy of documents such as tax invoices and receipts
Submit bank confirmation letters
Closing Financial Statements
Our Services
Prepare and close the annual financial statements, while verifying the accuracy of accounting information
to ensure compliance with accounting standards and tax laws
Prepare and close the annual financial statements, while verifying the accuracy of accounting information to ensure compliance with accounting standards and tax laws
Financial Closing Process
Financial Closing Process
2. Accrual of income and expenses
Record income that has not been received (Accrued Income)
Record expenses that have been incurred but not yet paid (Accrued Expenses)
3. Depreciation calculation
Calculate depreciation for fixed assets according to accounting policies
Adjust the asset and depreciation accounts
4. Inventory reconciliation
Perform a physical stock count at the end of the period
Record the value of ending inventory
Calculate cost of goods sold
5. Tax adjustments
Calculate VAT, withholding tax, and corporate income tax
Adjust purchase and sales tax entries for accuracy
Set up tax provisions to be paid
6. Post-adjustment entries
Adjust prepaid expenses, unearned income, and other related accounts
Adjust accounts for advances, employee loans, and other related accounts
7. Prepare trial balance
Check the total account balances to ensure they match
Correct any errors found
8. Prepare financial statements
- Balance Sheet
- Profit and Loss Statement
- Cash Flow Statement
- Notes to the financial statements
9. Review and approve financial statements
Submit for audit by an auditor (in case of a company)
The business owner or authorized person reviews and approves the financial statements
10. File annual financial statements and taxes
Submit financial statements to the Department of Business Development (DBD) within 150 days from the end of the fiscal year
Submit the annual shareholder report (Form Bor Chor 5)
Calculate and submit the annual tax return (Form Phor Ngor Dor 50)
Calculate and submit the semi-annual tax return (Form Phor Ngor Dor 51)
