What is simultaneous consolidation in SAP EC-CS - Consolidation?

SAP Term: simultaneous consolidation

• Component: EC-CS

• Component Name: Consolidation

• Description: A consolidation procedure of the consolidation of investments, which - when consolidating a given investee unit - processes all of the investments in the subgroup, along with the resulting minority interest in a single step. This procedure is characterized by the calculation of the differential from the consolidation of investments, which reflects the difference between the investments of the immediate upper unit and the weighted group share of the investee unit's shareholders' equity. Simultaneous consolidation is beneficial when dealing with complex ownership structures, especially non-hierarchical ones, and provides accurate analyses of the percentages of ownership.

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• Key Concepts: 
  Simultaneous consolidation is a feature of the SAP EC-CS Consolidation component that allows multiple companies to be consolidated into a single financial statement in one step. This eliminates the need for manual consolidation of individual companies, which can be time consuming and prone to errors. The consolidated financial statement is then used to analyze the performance of the group as a whole.
  
  How to use it: 
  To use simultaneous consolidation, first set up the consolidation structure in SAP EC-CS. This includes defining the parent company, the subsidiaries, and any intercompany relationships. Once this is done, the data from each company can be loaded into the system and consolidated into a single financial statement. The consolidated financial statement can then be used for analysis and reporting.
  
  Tips & Tricks: 
  When setting up the consolidation structure, it is important to ensure that all of the necessary data is included. This includes not only financial data but also non-financial data such as customer information and product details. This will ensure that the consolidated financial statement is accurate and complete.
  
  Related Information: 
  SAP EC-CS Consolidation also includes features such as currency translation, elimination of intercompany transactions, and allocation of costs across multiple companies. These features can be used in conjunction with simultaneous consolidation to provide a more comprehensive view of the group’s performance.