Example of Reporting Only Consolidation Method

Use the Reporting Only consolidation method and these reporting solutions: Financial Reporting, General Accounting Dashboard, Smart View, online inquiry, Oracle Analytics Publisher, Oracle Transactional Business Intelligence.

The following figure illustrates this scenario.

The two subsidiaries and the corporate ledger share the same calendar.
The first subsidiary uses the corporate chart of accounts and a local currency. The reporting currency functionality is used to record balances in the corporate currency.
The second subsidiary uses a local chart of accounts and a local currency. A secondary ledger is used to record balances in the corporate chart of accounts and the corporate currency.
The reporting currency, secondary ledger, corporate ledger, and adjustment ledger, are grouped into the corporate ledger set for consolidation and reporting.

This figure shows the Corporate Ledger Set with one corporate ledger, an adjustment ledger, and two subsidiary ledgers that were translated into the corporate currency for consolidation.

With the Reporting Only consolidation method, perform the following tasks:

Group the ledgers in a ledger set. This assumes the ledgers share the same chart of accounts and calendar.
Translate balances to the corporate currency for ledgers not in the corporate currency.
Create eliminating entries.
Run reports using the ledger set and the corporate currency as reporting parameters to view the consolidated balances.

If each entity's ledger has a different chart of accounts or calendar from the corporate chart of accounts and calendar, a secondary ledger is used. The secondary ledger conforms the balances to the common chart of accounts and calendar and is included in the consolidation ledger set.