Consolidation Run
Consolidation Run brings the member companies of a Consolidation Group into the group books at a date. On Save it works out the whole consolidated position at the Till Date, compares it with the previous run, and posts only the change, as one General Entry per step in the consolidation legal entity. A run cannot be edited or deleted; Reverse on the toolbar takes it back.
What it is for
Run it in the consolidation legal entity at each period end. Because each run posts the movement since the previous one, the group books always hold the latest consolidated position, and the trial balance of the consolidation legal entity is the group's consolidated trial balance.
Every field in plain words
Header
| Field | What it means |
|---|---|
| Transaction | The run's number |
| Consolidation Group | Required |
| Posting Date | The date of the General Entries |
| Till Date | The date the member balances are read up to. Follows the Posting Date and cannot be after it |
| Notes | Free text |
| Transaction Journal, Journal | Taken from the group when empty |
| Posting Status | Posted after Save |
Consolidation Lines
Filled on Save, one line per step, member and account.
| Column | What it means |
|---|---|
| Step | Consolidated balances, Intercompany elimination, Investment, goodwill and NCI, or Equity method |
| Member Legal Entity | The member the line is for |
| Account, Name | The group account |
| Currency, Local Amount | The member's balance in its own currency, on translated lines |
| Rate Type, Exchange Rate | Closing, Average or Historical, and the rate used |
| Group Amount | The whole consolidated amount at the Till Date |
| Posted This Run | Group Amount less what the previous run held: what this run posts |
| Voucher No | The General Entry that posted the line |
| Line Text | What the line is |
What happens on Save
- Consolidated balances. For each Full or Proportionate member, every account balance of its posted vouchers up to the Till Date (at the Ownership % for Proportionate), mapped by the Account Rules and translated: closing rate for the balance sheet, average rate for income and expense, the member's Historical Rate for equity. Average and historical lines keep the rate each earlier movement was translated at; only the new movement takes today's rate. What is left over per member goes to the Translation Difference Account.
- Intercompany elimination. The accounts of each elimination group are reversed; what does not net goes to the group's Difference Account.
- Investment, goodwill and NCI. For each member with an Investment Account, its equity at acquisition is eliminated against the investment. For a Full member owned less than 100%, the outside owners' share of that equity, of its other reserves and of its profit goes to Non-Controlling Interest (the profit share through NCI Share of Profit). Goodwill takes what balances the step.
- Equity method. For each associate, our share of its result since it joined, at the average rate, on its Investment Account against Share of Associate Profit.
- Each step's Posted This Run amounts are posted as one General Entry, in the group currency, in the journal of the run.
An amount the previous run held that is now nil is posted back to nil.
What posts
One General Entry per step that has a change, in the consolidation legal entity, on the Posting Date. Debits and credits are the Posted This Run amounts: a positive amount is a debit, a negative one a credit.
Undoing a run
Reverse on the toolbar, with a Reverse Date no earlier than the Posting Date. It reverses every General Entry of the run. Only the group's latest run can be reversed: reverse later runs first. A run cannot be deleted.
What it is connected to
- Consolidation Group - the members, methods and accounts.
- General Entry - the vouchers the run posts, opened read-only.
- Currency Conversion - the rates on the Till Date.
- How do I consolidate the group's companies?.
If something looks wrong
- "Till Date: ... cannot be after Posting Date: ..."
- "Consolidation Group ... is not set up in Legal Entity ..." Open the run in the legal entity the group belongs to.
- "Run ... is dated after ...; reverse it first" A later run exists. Reverse it, or date this run later.
- "No rate from ... to ... on ... in Exchange Category ..." Enter the rate for the Till Date on Currency Conversion.
- "Member ... needs a Historical Rate" Fill the member's Historical Rate on the group.
- "Accounts ... are not set up in Legal Entity ..." Release those accounts to the consolidation legal entity.
- "Only the latest run of a group can be reversed; reverse ... first"
- "A posted Consolidation Run cannot be deleted; reverse it instead"
- "Only Posted Vouchers can be reversed" / "Reverse Date: ... cannot be less than Posting Date: ..."
- A member's figures are missing. Only its posted vouchers up to the Till Date are read, and a member on Not Consolidated is left out.