Consolidation Hierarchy Structures - Oracle Financial Consolidation Hub User Manual

used for suspense handling.
During consolidation, when results are out of balance, Financial Consolidation Hub will
write to the suspense account to balance the results.
You also specify a threshold amount and currency for suspense handling notifications
and warnings. If the suspense amount is greater than the threshold amount or currency,
a warning will be raised in the consolidation process and a notification sent to the
appropriate contacts.

Consolidation Hierarchy Structures

A consolidation hierarchy structure is constructed by defining parent-child
relationships between entities using the following attributes:
• Ownership percentage
• Consolidation method
• Translation method
When you are creating or duplicating a hierarchy, you can define the consolidation
hierarchy structure manually in the user interface, or by uploading the information
from a spreadsheet.
Ownership Percentage
The ownership percentage specifies how much the entity is owned by its parent. The
ownership percentage cannot exceed 100%. In the case of an entity having multiple
parents, the total ownership percentage of the entity cannot exceed 100%.
See: Multiple Parents , page 13-9
Consolidation Method
Specify a consolidation method for the entity. The consolidation method determines
which balances of the entity is aggregated to its parent, and which consolidation rules
are applied.
See: Setting Up Consolidation Methods, page 8-1
In the case of an entity having multiple parents, at most one of the relationships may be
assigned a consolidation method of type Full. All of the other relationships must be
assigned a method of type None.
See: Multiple Parents, page 13-9
13-6 Oracle Financial Consolidation Hub User's Guide
Note:
A threshold violation warning will not stop consolidation
processing.