The University of Chicago

Financial Services

  

Year End Close Procedures

The fiscal year ends on June 30th and the accounting records are closed prior to preparation of the Annual Financial Statements via a series of closes based on the organization of University operations.

Close 1

"Standard Month-end Close" is consistent with a standard month-end close on the second business day of the month following the month being closed. All departments are responsible for processing any transactions occuring in the closed month/year being closed.

Close 2

The "Department" close allows the University departments approximately one week to review all activity reports provided by NSIT in order to ensure all corrections and adjustments made by NSIT are complete and accurate. Based on the changes made during Close 2, the departments make any corrections or reclassifications between accounts. This period of review adjustment extends one business week.

Close 3

The "University" or "Divisional" close provides divisional units the opportunity to review all departmental accounts and make appropriate adjustments. All adjusting entries must be approved by Financial Services along with designated individuals within the divisional units.

Close 4

The "OFS/Budget Office" close consists of a high level account review in which adjustments will impact the University as a whole. Entries made during this stage are the final items to be adjusted to the ledger balances.

Close 5

The "Final" close occurs at the financial statement level. Analysis by the Financial Reporting team along with the external auditors may provide additional changes to the financial records. As the ledger is closed at this time, any proposed entries are made directly to the financial statements and are ultimately adjusted for in the new fiscal year.


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