SEM-BCS Version configurations

[Former Member]

Dear Gurus:

I have the following scenario:

one parent company with 2 sub groups one on GAAP and another on AUS accounting technique.

a) I am creating 3 versions 1 for GAAP 1 AUS and 1 for consolidated parent group.

Is it the right way to do it?

b) Interunit elimination executed on Version1 for US Group cos Version 2 for Aus group cos and 3 for both US and AUS cos.

c) Can the client change the COI method - Purchase and Equity as and when they need? Is there any regulation restricting method changes?

Please respond at your earliest.

Thanks in advance.

Sri

Edited by: Bansidar Gunnia on Mar 30, 2008 9:07 PM

[dan_sullivan · Accepted solution]

It may not be necessary for 3 versions depending on the differences between the requirements for each.

By GAAP to you mean USA Generally Accepted Accounting Principles (GAAP)? By AUS do you mean Australian GAAP?

If 3 versions is the solution, then eliminations should be executed for each version. In this case it may be better to have 3 cons group hierarchies as well. One hierarchy for GAAP, one for AUS, and another that combines GAAP and AUS. The monitor may be assigned the hierarchy according to the version requirements.

Changing accounting method between Purchase and Equity is simple, but there are GAAP guidelines for each. The GAAP depends on the country for which the reports are prepared.

[Former Member · Accepted solution]

Dan:

Thanks for your quick response.

You are right on GAAP and AUS.

So each group will have its own elimination (GAAP,AUS and Overall)?

I am assigning points

Regards,

Bansidar

[dan_sullivan · Accepted solution]

The elimination tasks & methods may be the same except when different accounting principles call for them to be different. Therefore where the methods are not different they do not have to be configured separately for each version, assuming different versions are used.