How Do You Book Year End Adjusting Journal Entries?

How Do You Book Year End Adjusting Journal Entries?

Something to think about – once the audit is approved to be distributed to current and potential owners, it makes it the “official” financial statement of the Association. Thus, the Association books should reflect the REAL number at that point.

With regards to booking year-end audit adjustments, you can choose between two options:

If you choose to book ALL of the AJEs

If you choose to reverse some of the AJEs

If you disagree with one or more of the AJEs OR the AJE does not “fit” into your monthly financial statement presentation

What about if you are on the CASH basis or modified cash basis? Should you book the AJEs? Some options/thoughts/comments:


Sample HOA Working Trial Balance & Summarized AJEs

spreadsheet