Vélez-Pareja, Ignacio - In: The IUP Journal of Accounting Research and Audit Practices X (2011) 1, pp. 38-68
Textbooks on corporate finance and budgeting and forecasting recommend ‘closing’ the financial statements using what is known as a plug. A plug is a formula to match the Balance Sheet (BS) using differences in some items listed in it in such a way that the accounting equation holds. This is...