Month End Procedures for Rental Management

To be Completed on the last Working Day of the Month. All Daily and Weekly activities to be completed first.

1. Accounts Receivable Finance Charges and Statements

   _____  Generate Finance Charges
   _____  Post Finance Charges
   _____  Fax Statements  (if applicable)
   _____  Customer Statements
   

2. Balancing the Accounts Receivable

   _____  Aged A/R Summary
   _____  G/L Account Inquiry:
          Select A/R Account
          Period End Date = Month End
          Accumulate Prior Balance = Y
          Paging Screen = N,   Summary.
   
      Aged A/R Summary Report Total       ____________________
   
      G/L Acct #_______ Balance on Screen ____________________
   
                          Difference      ____________________
   
   

3. Clearing Accounts to have Month End Balance = Zero

   _____  Acct #________  Cash Clearing
   _____  Acct #________  Customer Refunds Owing
   _____  Acct #________  Suspense
   _____  Acct #________  ____________________________
   _____  Acct #________  ____________________________
   _____  Acct #________  ____________________________
   

4. Balancing Customer Deposits

   _____  O/S Deposits Report
   
   _____  G/L Account Inquiry:
          Select Customer Deposits Account
          Period End Date = Month End
          Accumulate Prior Balance = Y
          Paging Screen = N, Summary.
   
      G/L Acct #_______ Balance on Screen ____________________
   
      Outstanding Deposits Report Total   ____________________
   
                          Difference      ____________________
   
   

5. Rental Equipment Sold

   _____  Allocate Bulk Disposals
   _____  Daily Close 3  to post bulk disposals
   _____  Disposal Transactions Report  - for current month
   
   

6. Balancing Equipment Inventory Value and Depreciation Edit

      - monthly or yearly
   
   _____  Bulk Disposals completed first - see step 5 above
   
   _____  Check that all Warehouse Receiving and A/P Invoices have been entered
   
   _____  Verify Tag Qty = Loc Qty - this checks that all items have a Fixed Asset Tag.
                   Items that appear on the report need correcting in Rental Inventory
   _____  New Acquisitions Report - for current month only
          Sort by Depreciation Class = Yes - confirm that new items are in the correct class
   
   _____  Inventory Value Report - confirm that the report totals
          balance to the General Ledger Accounts for Rental Inventory
   
   _____  Depreciation  Run - Sort by Depreciation Class
          "Report Printed Ok " - NO for the Edit,  YES for final run
   
   _____  Miscellaneous G/L Journals & Post Miscellaneous G/L Journals
          to post Depreciation
   
   

7. Commissions

          - Bulk Disposals completed first - see Step 5
          - pick one of the following:
   
   _____  Salesman Commission Report
   _____  Commission Report By Payment
   
   
   _____  Salesman Detail Report
   _____  Salesman Summary Report
   
   

8. Accrual for Unbilled Revenue

   _____  Unbilled Revenue Report
   _____  Miscellaneous G/L Journals and Post Miscellaneous G/L Journals
          to post Accrual of Unbilled Revenue
   
   

9. Optional Management Reports

   _____  Inventory Value Reports
   
   _____  Missed Rentals Report
   
   _____  Rental Utilization Reports
   
   _____  Gross Margin Analysis Report
   
   _____  Equipment Financial Utilization
   _____  Equipment Summary Report
   
   _____  Taxable/Nontaxable Invoice Report  - for U.S. sales tax preparation
   
   
   
   

10. Roll-over Month End Dates

    _____  Month End Date Range Roll-Over
           Roll over all dates except programs relating to Accounts Payable & General Ledger functions.
    

MONTH END FINAL CLOSE OUT

According to your company requirements, select 5 to 10 days after month end to finalize the month's activities. Between 5 and 10 days is usually allowed for late arrival of Accounts Payable invoices and the completion of the Bank reconciliation.

1. Accounts Payable Close Out

   Allow 5 to 10 days for later arrival of invoices, then close the A/P, and no longer use the previous month as the Post Date. Invoices arriving after the month end close must use the next month's post date.

   Note: Next month's invoices may be posted even though the previous month is not closed.

   _____  Vendor Account Inquiry  - use this to check Vendor Statements
          as they arrive
   _____  Aged A/P Summary Report  (use Month End Date)
   _____  G/L Account Inquiry
          Select Accounts Payable Account
          Period End Date = Month End
          Accumulate Prior Balance = Y
          Paging Screen = N
          Summary.
   
   Aged A/P Summary Report Total                        ____________________
   
   G/L Acct #_______ Balance on Screen                  ____________________
   
                          Difference         ____________________
   
   

2. General Ledger Close Out

   _____  All G/L Checks Posted
   _____  All Misc and Standard Journals posted
   _____  Banks Reconciled
   _____  Trial Balance By Account# Range  Summary for the month
          - check the following:
          _____ All Clearing Accounts checked for zero balances
          _____ Errors or unusual entries
   
   _____  Summarize G/L For Financial Statements
   _____  Balance Sheet
   _____  Income Statement
   
   
   Optional:
   _____  G/L Trial Balance  (comprehensive report should be done
          before compression)
   _____  Compress General Ledger  Transactions for the month only
   (Print the Trial Balance Detail for the month first, and never compress if the report is out of balance)
   
   

3. Roll-over Month End Dates for A/P and G/L

   _____  Date Range Control
          Change date ranges for programs relating to Accounts Payable & General Ledger only