Clearing of Imbalances Caused by Interunit Entries 

Use

Under certain circumstances, it may be necessary to clear imbalances caused by interunit entries – that is, entries between different consolidation units – not only for the entire document but also for each consolidation unit.

This allows you to create consolidated individual statements for each consolidation unit once consolidation has been completed.

Prerequisites

In the customizing settings for each document type, you have defined clearing items for clearing imbalances caused by interunit entries.

Features

A clearing item is needed for clearing the entries of the consolidation units. Defining a clearing item ensures that the system always posts a balancing entry.

During posting, the system calculates the net balance for each consolidation unit and posts it to the clearing item.

Example

You want to post interunit eliminations between two consolidation units. You previously defined a clearing item for interunit entries in the document type you are using. This results in the following posting document:

Posting document

Line Item	Cons Unit	Item	Amount
01	CU 1	Receivables from affiliates	1000 -
02	CU 2	Payables to affiliates	1000
03	CU 1	Clearing item	1000
04	CU 2	Clearing item	1000 -

Remarks

·       Lines 03 and 04 are automatic line items inserted by the system.

·       The document nets to zero:

·       All line items add up to zero.

·       Each consolidation unit has a zero balance.

·       The balance of the clearing item remains zero.