Intercompany Relationships (GL25.1)

Use Intercompany Relationships (GL25.1) to define and maintain intercompany relationships. An intercompany relationship identifies the intercompany payable and receivable accounts used to post balancing transactions from one company to another. The General Ledger system uses the relationships to create balancing entries when you release an intercompany journal entry or when a subsystem intercompany transaction is transferred to the General Ledger system. You can define multiple relationships by system code. However, a relationship with a blank system code must exist before defining relationships with specific system codes.

You must establish intercompany relationships for any company that is used as an originating company for a journal entry.

If the original entry for a company is a debit entry, the payable account is used to balance entries. If the original entry for a company is a credit entry, the receivable account is used to balance entries.

If you send intercompany transactions to a non-Lawson general ledger, the non-Lawson general ledger must create the balancing entries.