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Former Member

CONSOLIDATION OPENING BALANCE

Hi Experts

I just need to know how BPC calculate opening balance for consolidation entity

does it take all opening balances for all entities  and consolidate then post the elimination entries

or it just carry forward the last year closing balance for consolidated entity ?

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2 Answers

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    Former Member
    Oct 13, 2015 at 06:15 AM

    Hi Awad,

    The carry forward task is the opening step of the consolidation process, before run the consolidation and elimination process. The elimination step comes before consolidation process. BPC only can carry forward the last year closing balance for consolidation entity.  However you can carry forward  task as often as you need to since it is so flexible. The carry forward of balances is an essential step in the creation of a balance sheet for an organization. Carry forward refers to the closing balance of accounts for a fiscal period being transferred as the opening balance of a subsequent fiscal period. The carry forward balance rules can also be used to close current period net income and post to the balance sheet to create a fully balanced balance sheet. We are carrying forward mainly balance sheet item.

    Khokan

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    • Former Member Former Member

      Hi Awad,

      We only carry forward the I and M type of data. The A type of data will be calculated by the system using some or the other logic.


      With respect to the currencies, you can carry forward the currencies except LC also. However, you should not run currency translation on these types of accounts.


      That mean you can carry forward the balance for all entities in LC then the system consolidate this opening balance to the consolidation entity.


      Hope this helps.


      Khokan

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    Former Member
    Oct 13, 2015 at 12:42 PM

    Hi Awad,

    To be very short , it is not a simple BCF. Please check the below article by Fred Wei

    http://scn.sap.com/docs/DOC-62462

    Thanks and regards

    Praveen Jagadeesan

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