Inter Company Transaction happen more than one Legal Entity
Steps for the Intercompany Define intercompany Payables and
intercompany Receivables account code in Chart of Account
Click on find Intercompany payable
Assign Flexfield at the segments (N) setup>Financials>
Flexfield>Key>Segment
Click on Segment update value set as company
Click on open Click on Flexfield Qualifiers Enable the
Intercompany Segment Flexfield qualifier
Enable Intra Company Balancing at our Ledger(N) Setup>
Financials> Accounting setup manager> Accounting SetupClick
on update pencilCheck mark on Enable Intra company Balancing,
Define relationship of accounts in intercompany option For
intercompany transaction Create another Legal Entity
And attach or add to the Ledger, Click on (B) Add Legal
Entity
Click on apply
Click on update balancing segment value and add the balancing
segments to the Legal EntityClick on apply Click on Intercompany
Accounts option update pencil
Click on Define Relationship
Click on add another row
Select the option all other from the list of values for
Transacting Balancing Segment Value, Trading Partner Legal Entity
and Trading Partner Balancing Segment Value and then click on
define Accounts Click on the Add another Row and enter the
intercompany accounts receivables and payables accounts
respectively
Click on apply
Go to the next Legal Entity and define Accounts
Relationships
Define Accounts
Balancing Segment should be changed from 01 to 02 and change the
status completed
Click on doneNow create Intercompany Journal with different
Balancing Segment Value
The above journal entry the Balancing Segment Value are the
different post it
Ensure the Journal as normal status
Query the Journal Entry
Click on (B) Review Journal
2 lines are generated with the description i.e. Intercompany
balancing line added by PostingIntra Company Transaction happens
within same Legal EntityDefine clearing company code to Chart of
Accounts clearing company is used to report the, Clearing company
used to know for which Balancing Segment Value the transaction was
passed it is reporting purpose Transactions at legal entity level
i.e. optional one (N)
setup>financials>flexfield>key>values
Click on find
Click on ok and save it
Associate the Balancing Segment Value to our Ledger (N)
Setup> Financials> Accounting Setup Manager> Accounting
SetupAdd BSV to the Legal Entity, click on update HP LEG update BSV
pencil option Click on applyIn the ledger click on the intra
company Balancing Value
Click on intra company Balancing rule pencil option
Click on HP LEG define RulesClick on create rule
Click on Option Tab
Click on apply
Click on doneNow enter the journal with the two different BSV
(enter journal only with intra BSV)
Post the journal
Ensure the request status is normalQuery the journal and you
will find out 4/6 journal lines are created
