What is consolidation entry in SAP FI-LC - Consolidation?

SAP Term: consolidation entry

• Component: FI-LC

• Component Name: Consolidation

• Description: Journal entries that transfer the corporate valuation of individual financial statements to the consolidated financial statements. These include: Eliminating entries for Intercompany payables and receivables Intercompany revenue and expense Intercompany profit and loss in transferred assets Intercompany profit and loss in inventory subgroup-consolidating entries of investments Reclassifications on a group level

Smart SAP Assistant

• Key Concepts: 
  A consolidation entry is a type of financial document used in SAP's FI-LC Consolidation component. It is used to combine the financial data of multiple companies into a single document. This document can then be used to analyze the financial performance of the combined companies. 
  
  How to use it: 
  To create a consolidation entry, users must first define the consolidation rules in the FI-LC Consolidation component. These rules will determine which accounts and companies are included in the consolidation entry. Once the rules are defined, users can create a consolidation entry by selecting the appropriate accounts and companies. The data from these accounts and companies will then be combined into a single document. 
  
  Tips & Tricks: 
  When creating a consolidation entry, it is important to ensure that all of the necessary accounts and companies are included. This will ensure that all of the relevant financial data is included in the document. Additionally, users should double-check their consolidation rules to make sure that they are accurate and up-to-date. 
  
  Related Information: 
  For more information on SAP's FI-LC Consolidation component, please refer to SAP's official documentation. Additionally, there are many online resources available that provide tutorials and tips on how to use this component effectively.