Create Consolidation Voucher - Parent Company

Explanation

This activity is to create a voucher with consolidation information. When the balance consolidation information exists in the subsidiary, it can be retrieved in the parent company from either the same database or from a file. When the consolidation transfer is performed in the parent company, a voucher is created automatically and placed in the parent company's hold table. 

Prerequisites

Before creating a consolidation voucher in the parent company, the following must have been completed:

• The subsidiary must have consolidated the balances. In both the Parent Consolidations and Subsidiary Consolidations windows, the Balance Transferred check box for the previous period of the subsidiary must be selected.
• The parent company must have consolidated the previous period balances of the subsidiary. In both the Parent Consolidations and Subsidiary Consolidations windows the Balance Consolidated check box must be selected for the previous period of the subsidiary. This is not required if the selected period has been defined as the Initial Consolidation Period in Acquisition Data.

System Effects

• As a result of the activity, a consolidation voucher is created automatically in the parent company’s hold table in IFS/Accounting Rules. The voucher belongs to function group C. In both the Parent Consolidations and Subsidiary Consolidations windows the Balance Consolidated check box is selected automatically.
• This activity also updates period balances of assets and liability accounts to the parent's View/ Modify Accumulated Balances.

The transfer can be reversed via the Rollback Balance Consolidation operation in Parent Consolidations. It also reverses period balances that are updated to the parent's View/ Modify Accumulated Balances.

Window

Parent Consolidations
 

Related Window Descriptions

Start Balance Consolidation

Procedure

Use the following procedure to start the balance consolidation. The subsidiary and the parent company must use the same database.

1. Make sure that you are in the parent company.
2. If the parent company and the subsidiary keep accounts in different currencies, select Accounting Rules\Currencies and check the currency rates that are used for consolidation. If specific rates should be used for certain accounts, register such rates in Exclude Accounts from Currency Adjustments/ Currency Rates for Excluded Accounts. (Eg. Equity accounts such as share capital and reserves).
3. Select the Parent Consolidations window and highlight a line containing which has the Balance Transferred check box selected.
4. Select the Start Balance Consolidation operation. The activity starts with a dialog box. All values are fetched from the selected raw. No Subsidiary Information can be changed and in the Parent Information area, only the User Group, Voucher Type and Voucher Date fields can be modified. If the subsidiary company and the parent company keep accounts in different currencies, you can enter a currency rate in either of the following. But it does not apply on excluded accounts.

   Entering one rate for balance-sheet accounts and one rate for profit and loss accounts.

   Entering a currency rate type to be used for all accounts.

5. Confirm the information.