Configuring Core - Financial Consolidation User Guide

Select Modules > Consolidation > Core and click Configure.

The use of segmentation is enabled by default. If enabled, all profit and loss accounts (E and R types) are segmented automatically. If the use of segmentation is required, then select from these options:

Option	Description
Balance Sheet Account Segmentation	Segmentation of balance sheet accounts (A and L types) is enabled by default. If not required, you can disable it.
Usage of Elimination Items for Segments	The use of elimination items to track differences within hierarchical segmentation is enabled by default. If not required, you can disable it. See "Use of elimination items for segments".
Business Object	Select a custom business object for the primary segment. For example, Business Unit. See "Hierarchy of segments".
Secondary Segment	Optionally, enable a secondary segment and select a custom business object to link with the segment. For example, Regions. See "Hierarchy of segments".
Tertiary Segment	Optionally, enable a third segment and select a custom business object to link with the segment. For example, Products. See "Hierarchy of segments".

Note: If you disable the use of segmentation, you cannot run consolidation processes with segment elimination.

The use of schedules is enabled by default. If schedules are required, then specify the ID of an equity schedule.

Note: If you disable this option, you cannot run the carry forward process, opening balances are not available, and periodic changes are not possible.

The Enable schedule detail distribution option is enabled by default. If you disable this option, you must import the group accounts that have schedule details with those details. You cannot distribute those schedule details at a later point in time. If this option is enabled, you can either import the closing balances of group accounts that have schedules and distribute the schedule details later, or import only the schedule details. With this option enabled, you cannot import both an account's closing balance and schedule details.

Note: If you want to import only part of the schedule details, you must create a customized import for details that uses the schedule detail distribution level instead of the standard import level.

Optionally, enable multiple reporting currencies. If you enable multiple reporting currencies, then currency conversion rules are created in the Group cubes.

Note: To use multiple reporting currencies, you must maintain standard rates (closing rate (F) and average rate (A)) for each reporting currency. Weighted Average (WA) and historical exchange rates (H, HI, HS, and HD) are never used in the online conversion into enabled reporting currencies.

Specify, as percentages, these thresholds:

Consolidation at Equity
Proportional Consolidation

The choice of the consolidation method depends on the effective control and threshold values. The default value for the consolidation at equity is 20% and for the proportional consolidation, it is 50%. These settings are GAAP-dependent and can be changed.

If the equity journals affect the profit and loss result of the previous period, select a group account as the carry forward account to which to post the opening balances of the equity journals. This account is used for the carry forward of entity and group journals.

Click Next.

Specify this information:

Goodwill: Select the asset group account for system generated goodwill postings.
Badwill: Select the asset group account for system generated negative goodwill postings.
Goodwill Amortization: Select the profit and loss group account for system generated goodwill amortization.
Revaluation Reserve: Select the balance sheet group account for revaluation reserve.
Participation: Select the profit and loss group account for system generated deferred tax credits.
Default Schedule Detail: Specify the ID of the schedule detail for participations.
Dividend Payout Detail: Specify the ID of the schedule detail for recording dividends payable for the period.

Dividend Minority Detail: Specify the ID of the schedule detail for recording minority interest in dividends payable for the period.

Click Save.