- In method, we can use ‘L’ and ‘D’ to differentiate two different scenarios:
- ‘L’ (Left at last year-end)
- ‘D’ (Disposed during the year)
- In ‘Elimination and Adjustment’ rule, there’s only ONE rule type for Leaving:
- The behavior for ‘L’ type elimination rule works in the same way for both ‘L’ and ‘D’ method, which is to reverse all Balance Sheet accounts (account type = AST or LEQ) with corresponding destination audit ID
P&L accounts will not be handled by this type of rule.
- P&L accounts needs to be handled by generic type rules.
2.1 Period 2009.Dec
Until 2009.Dec, three entities (C2000/C3000/C4000) belong to one group (G_CG2):
The transaction data for 2009.Dec:
One Elimination rule is defined to reverse the P&L account by the minority ownership percentage (1-POWN):
Please notice that the details rules are set to ‘Periodic Calculation’.
Definition of used multiplier, which only works for method ‘Holding’ and ‘Global’:
Consolidation result for 2009.Dec:
The elimination result is saved in the target audit id, AJ_ELIM, with correct amount.
2.2 Period 2010.Jan
In next year, 2010.JAN, entity C3000 was sold at the begin of the year:
Define a new elimination rule with rule type ‘L’ and target audit id ‘AJ_SOLD’, no details needed.
This rule will only handle the Balance Sheet accounts.
For the P&L rule, add a new line for ‘L’ method which will reverse all P&L amount with a different target flow with YTD basis.
For corresponding multiplier, it only works for method ‘L’ (20).
- Balance Sheet accounts for C3000 were 100% reversed in audit ‘AJ_SOLD’ (done by ‘L’ type rule)
- The opening flow amount was then reclassified to flow ‘F_VARLEAVE’ (done by scope change in elimination)
- The P&L accounts for C3000 were 100% reversed in audit ‘AJ_ELIM’ (done by generic rule) with different target flow member
- The P&L accounts for C4000 were partial reversed by ownership percentage
2.3 Period 2010.Feb
In 2010.Feb, entity C4000 was sold during the middle of the year.
For P&L rule, add one addition detail line for ‘D’ method to only reverse the P&L accounts after the disposal, which is set with ‘Periodic Calc’ with a different target flow member.
The corresponding extra multiplier which only works for ‘D’ method (20):
- All Balance Sheet accounts for both C3000 and C4000 are reversed by ‘L’ type rule
- P&L accounts for C3000 are 100% reversed into flow F_650
- For C4000, the elimination result for P&L amounts happened before the disposal is unchanged compared with 2016.Jan
- For C4000, the P&L amounts happened in 2010.Feb (after the disposal) is 100% reversed into a flow F_640