This field in the Chart of Accounts window indicates that an account is closed. This means:
You can no longer use the account manually in the Chart of Accounts window.
You cannot pass off to the account. On the passoff report (RGGG), the offending closed account will print "Closed Account" in place of the actual account description.
You should only change an account to Closed when it is no longer needed for use in the current year. You can close an account at any time, even if current transactions exist. The Eagle system keeps a closed account's detail for comparisons.
Example: In 2011, you used expense account 7777 for phone expenses. In 2012, you want to begin using account 6666 to record all phone expenses. Do the following to accomplish this: At the end of 2011, transfer the balance from account 7777 to account 6666, and then close account 7777. As a result, you can no longer post to 7777 manually. If G/L is automatically passing off to that account, it will attempt the passoff, but it will be unable to post. The system keeps the data for account 7777 for comparing 2012 expense to 2011 expense.