Oracle Financial Consolidation Hub User Manual page 77

Company Cost Center
12.100
Japan has the balances in the following table. Assume these balances have already been
translated into the parent currency, USD.
Japan's Balances
Company Cost Center
11.100
11.100
11.200
11.200
11.100
During consolidation, the consolidation rule will produce a consolidation entry in each
step.
Step 1: Eliminate Investment in Subsidiary
Company Cost Center
Organization
11.100
The step identifies the balance in Japan with line item 3000 - Equity as the source
balance. It produces a consolidation entry with Line Item 1820 - Investment in
Subsidiaries, whose value is: 0.8 * (-500) = -400. The company cost center organization of
the entry is set to the base organization of the source entity, 11.100.
Step 2: Eliminate Subsidiary Equity
Organization Line Item
5000-Expense
Organization Line Item
1100-Cash
2100-Debt
3000-Equity
4000-Revenue
5000-Expense
Line Item
1820 - Investment in
Subsidiaries
Balance
400
Balance
500
-200
-500
-100
300
Balance
-400
Setting Up Consolidation Rules 9-11