1. Financial Management Fundamentals Implementation Guide
  2. Examples for the Hub Method

Examples for the Hub Method

This section shows three examples of how the system creates the automatic entries for intercompany settlements using the hub method. This information applies to the three examples:

  • The entries to the hub company use a subledger that is equal to the offsetting company number and use subledger type A (address book) so that you have an audit trail.

  • The business units (1, 50, 60, and 200) and object account (1291) are determined by AAI items ICCC and ICH.

  • The system creates the automatic entries with a document type of AE (automatic entry), a document number equal to the batch number of the journal entry, and a GL date equal to the last day of the accounting period.