The reconciliation ledger is a tool used to portray transaction figures in Controlling in a summarized form.

The reconciliation ledger has the following tasks:

• It reconciles Controlling with Financial Accounting.

• It provides reports with which you can monitor the CO/FI reconciliation for each account.
• It can determine and display value flows that were posted in Controlling across company codes, functional areas or business areas.
• You can use this value flow in Financial Accounting as the basis for summarized clearing entries. Clearing entries represent value flows within Controlling that have an effect on the legal closing of an organization (balance sheet, profit and loss account). You can either post the clearing entries using the values determined, or you can let the R/3 System post them automatically.

• It provides an overview of all the costs incurred.

• The reconciliation ledger reports provide an overview of the costs and are thus a suitable starting point for analysis. For example, in the reconciliation ledger reports you can analyze an item of the Profit and Loss Account, which is displayed in the Financial Information System (FIS), to see the costs assigned. For a more detailed analysis, you can use the reconciliation ledger reports to call up reports from other CO components.