Freeform Formulas in Consolidation Structures

Consolidator preserves the additivity of the child entity output data whenever possible. Consolidator solves for @input if the consolidated parent contains a Freeform formula using @input.

For example, child entities and the consolidated parent use the same Freeform formula, which contains the @input function, to calculate Depreciation Expense (v1110) on the Income Statement. Strategic Finance solves the consolidated parent input using the output values of the child entities. In this example, the input of .86 is necessary to achieve the additive output of $430 in the consolidated parent.

Business Unit File Freeform formula:

@input * v2190.1

Consolidated parent Freeform formula:

@input * v2190.

Input Data:

Account Name

Business Unit File #1

Business Unit File #2

Consolidated Parent

Depreciation Expense (Funds) (v2190.1)

$200

$300

$500

Depreciation Expense (v1110.0)

.80

.90

.86

Output Data:

Account Name

Business Unit File #1

Business Unit File #2

Consolidated Parent

Depreciation Expense (v1110.0)

$160

$270

$430

If the consolidated parent contains a Freeform Formula that does use @input, the consolidation checks the consolidated parent to see if the account has currency overrides. If there are, the currency override is the sum of the output data of all child entities in the consolidation.

For example, both business units use the same Freeform Formula, which contains @input, to calculate Depreciation Expense (v1110) on the Income Statement. The consolidated parent does not use @input. It sets Depreciation Expense (v1110) equal to Depreciation Expense (Funds) (v2190.1). Consolidator solves this using the output values of the child entities. In this example, a currency override of #430 achieves the additive output of $430 in the consolidated parent.

Business Unit File Freeform formula:

@input * v2190.01

Consolidated parent Freeform Formula:

v2190.01

Input Data:

Account Name

Business Unit File #1

Business Unit File #2

Consolidated Parent

Depreciation Expense (Funds) (v2190.1)

$200

$300

$500

Depreciation Expense (v1110.0)

.80

.90

#430

Output Data:

Account Name

Business Unit File #1

Business Unit File #2

Consolidated Parent

Depreciation Expense (v1110.0)

$160

$270

$430

If there are no currency overrides, the Freeform Formula in the consolidated is executed. It is possible, with no currency overrides, that the consolidated parent output is not equal to the sum of the child entities.

Take the previous example, but with no currency override, and the Freeform Formula in the consolidated parent executes.

Business Unit File Freeform formula: @input * v2190.01

Consolidated parent Freeform Formula: v2190.01

Input Data:

Account Name

Business Unit File #1

Business Unit File #2

Consolidated Parent

Depreciation Expense (Funds) (v2190.1)

$200

$300

$500

Depreciation Expense (v1110.0)

.80

.90

Executes Freeform Formula

Output Data:

Account Name

Business Unit File #1

Business Unit File #2

Consolidated Parent

Depreciation Expense (v1110.0)

$160

$270

$500