Understanding Consolidation and Equitization

These topics provide an overview of consolidations with related equitization functionality and discuss how to:

• Determine consolidation ChartFields.

• Select an approach to intercompany and intracompany transactions.

• Define consolidation trees.

• Set up elimination units.

• Specify consolidation ledgers.

• Define elimination sets.

• Define subsidiary ownership and minority interest sets.

• Set up consolidation sets.

• Use ChartField value sets.

• Perform consolidation.

• Consolidate across summary ledgers.

• Map dissimilar charts of accounts.

• Use equitization.

• Define business unit trees and elimination units for equitization.

• Specify ledgers for each business unit in an equitization.

• Define ownership sets for equitization.

• Define equitization rules.

• Define an equitization group and journal options.

• Perform equitization.

• Produce consolidation and equitization reports.

• Use the ledger interface utility.

This section discusses:

• Organizational structure and consolidations.

• Elimination of intercompany transactions.

• Elimination of intercompany investments and calculating minority interests.

• Components of the consolidation process.

• Incremental processing of Consolidations.

• Equitization and Changes in Subsidiary Ownership.

• TimeSpans in the Consolidation and Equitization Processes.

• Effective Dates and Ownership Sets in Consolidation and Equitization.