Cross-Ledger Allocations

Journals can be for a single ledger or multiple ledgers within a ledger set. When you create cross-ledger allocations, they must have only one debit or one credit line. The other side of the journal can have as many lines as you need.

Settings That Affect Allocations

General Ledger Allocations

For the Generate General Ledger Allocations process, set the parameters listed in the following table to create allocation journals:

Parameter	Description
Rule or Rule set	Select the rule or rule set to create allocation lines.
Post Allocations	Select to automatically post allocation journals after they have been imported.

Intercompany Allocations

For the Generate Intercompany Allocations process, set the parameters listed in the following table to create intercompany allocations:

Parameter	Description
Rule or Rule set	Select the rule or rule set to create allocation calculations.
Intercompany Transaction Type	Select the transaction type to be used to create the intercompany transactions.

How Allocations are Processed Using the Generate General Ledger Allocations Process

The Generate General Ledger Allocations process creates journals from the allocation lines generated by the rule or rule set.

Journals can be for a single ledger or multiple ledgers. If the allocation lines span multiple ledgers each journal is balanced using the intercompany balancing rules. When you create cross-ledger allocation rules each rule must only result in either one debit line or one credit line with as many lines on the other side as you need. The process then adds intercompany receivables or intercompany payables lines to cross-ledger journals so they can be imported into the relevant ledger.

How Allocations are Processed Using the Generate Intercompany Allocations Process

The Generate Intercompany Allocations process creates an intercompany batch, transactions, provider distributions and receiver distributions from the allocation lines generated by the rule or rule set. The process creates intercompany transactions in the entered currency of the allocation lines.

Then Intercompany uses the primary balancing segment values, the balancing segment to legal entity assignments and the intercompany organizations set up to create transactions from your allocation.

You can create intercompany transactions from either single ledger or cross-ledger allocation lines. To successfully process cross-ledger allocations you must have either one debit line or one credit line per allocation but as many lines as required for the other side. The single debit or single credit line forms the provider side of the transaction and the lines on the other side form the receiver side of the transaction.

Additionally, each primary balancing segment value can only be on either the debit side or the credit side. It can't be on both sides.