Prior Year P&L Showing Zero After Year End

[JKline]

I just completed a year end for the last financial year. I have not yet locked the accounts for last year. When I view the Balance Sheet for the year I just closed, the P&L is 0 however if I look at the P&L Report for the the year I just closed, it shows the correct P&L. Why doesn’t the prior year Balance Sheet have the correct P&L? Shouldn’t it continue to show the prior year P&L?

[ian_roberts]

The journal created when you closed the year has moved the “P&L account” total to the “retained profit and undistributed reserves” nominal in the capital section. The P&L report disregards the special year end journal so you can still see the individual P&L nominal accounts but the balance sheet at year end includes the effect of the closing journal.

[JKline]

Thanks so much Ian. So nothing is wrong - it’s just how it works.