Corporation Switch User Manual

10-6 Oracle Financial Consolidation Hub User's Guide
Balance Organization Line Item Intercompany Debits Credits
S5 4.100 2200 – Accounts Payable 9.100

450
UK has the following balances in GBP.
Balance Organization Line Item Intercompany Debits Credits
U1 9.100 2200 – Accounts Payable 00

1100
U2 9.100 1200 – Accounts
Receivable
3.100 900

U3 9.100 1200 – Accounts
Receivable
4.100 200

Services and UK have the intercompany eliminations performed at the level of the
common parent, Global and Subsidiaries. The entities' balances are converted to the
common parent currency, USD.
Services' balances are already in USD. UK's balances are converted to USD. As specified
before, the conversion rate is 2.
Balance Organization Line Item Intercompan
y
Debits Credits
U1 9.100 2200 – Accounts
Payable
00

2200
U2 9.100 1200 – Accounts
Receivable
3.100 1800

U3 9.100 1200 – Accounts
Receivable
4.100 400

Intercompany eliminations will only be performed for balances whose line items are
1200 – Accounts Receivable, 2200 – Accounts Payable or 2210 – Accounts Payable
Discounts, and whose intercompany value differs from 00. Balances S3, S4, S5, U2, and
U3 meet this criteria.
The eliminations will be written to the elimination entity of the common parent. The
eliminations will write to the same account, except reverse the debits and credits. The
eliminations will also be grouped according to company pairs. In this example, the pairs