In preparing consolidated financial statements, we need to eliminate transactions between companies or entities included in the group for consolidation and only report results arising out of transactions with third parties. This is achieved through intercompany elimination.
To perform Intercompany Elimination in Oracle Financial Consolidation and Close Cloud Service (FCCS) below pre-requsites should be met,
Prerequisites to perform intercompany eliminations in Oracle Financial Consolidation and Close Cloud Service (FCCS)
1. Intercompany feature should be enabled while creating the application.
2. Account must be set as an Intercompany account.
3. The account must have a Plug account assigned to it.
4. Entity must be set as an Intercompany entity.
5. Run a consolidation.
6. Intercompany transactions are eliminated automatically after running consolidation in Oracle Financial Consolidation and Close Cloud Service (FCCS).
No comments:
Post a Comment