How To Fix UCF6780 - System utilization: Incorrect setting for 'goodwill in divestitures'

UCF6780 - Overview

• Message type: E = Error

• Message class: UCF6 - Messages for Consolidation of Investments

• Message number: 780

• Message text: System utilization: Incorrect setting for 'goodwill in divestitures'

What causes this issue?

In the system utilization for consolidation of investments, you have
selected the <LS>Partial Divestiture as Equity Transaction</> function.
In this case, you must choose the <LS>No or Complete Reduction</>
setting for the <LS>Goodwill in Divestitures</> field, so that the
system does <ZH>not</> change the goodwill in partial divestitures and
transfers.

System Response

If you choose the <LS>No or Complete Reduction</> setting, the
consolidation of investment in partial divestitures and transfers posts
the value by which the goodwill <ZH>would</> be reduced to the <LS>Net
Income for Partial Divestiture</> appropriation item on the balance
sheet.
However, independent of the setting for <LS>Goodwill in Divestitures</>,
the system always performs a proportional reduction of the goodwill in
the following cases:
Equity method
Organizational change

How to fix this error?

Adjust the Customizing settings for the system utilization for
consolidation of investments as described above.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

UCF6780 - Details

• The SAP error message UCF6780, which states "System utilization: Incorrect setting for 'goodwill in divestitures'," typically arises in the context of financial reporting and consolidation processes within SAP systems, particularly when dealing with goodwill and divestitures in the context of mergers and acquisitions.
  
  Cause:
  The error is usually caused by incorrect configuration settings related to how goodwill is treated during divestitures in the SAP system. This can happen due to:
  
  
  Configuration Issues: The settings for goodwill in the system may not be aligned with the accounting principles or the specific requirements of the organization.
  Data Inconsistencies: There may be inconsistencies in the data related to goodwill or divestitures that are causing the system to flag an error.
  Missing Parameters: Required parameters for handling goodwill in divestitures may not be set up correctly in the system.
  
  
  Solution:
  To resolve the UCF6780 error, you can follow these steps:
  
  
  Check Configuration Settings:
  
  Navigate to the configuration settings for goodwill in the SAP