ERPstuff - Oracle EBS Community

Hi all,

I have an issue regarding retained earnings as follows,

1. One business group has one set of book and one legal entity.
2. The same business group has multiple companies which are sharing the same set of book.
3. How the companies will share the retained earnings account if one set of book is using.

I hope, I could communicate well If not please don't mind to e-mail me on 'lakhan_rlakhan@yahoo.com' Thanking you

Hi

When you say multiple companies with single set of books, you will set only one retained earnings account in the set of book. But internally when you close the year, the system will balance the transactions based on the Balancing segment for each revenue and expense account and also if you have enabled intercompany Journals check box in Set of books it will create Intercompany Journal entries also

This is the reason when you run the Trial Balance you are providing the Balancing segment as one of the parameter.

Also you can set for each of the balancing segment to a Separate Operating unit and attach responsibility and set the security rules to prevent one person using the other responsibility segment.

Hope this helps

Regards
Sivakumar

what i have understood is that the retain earning account will be hit seprately by each legal entity,it means we can see it seprately through FSG or online inquiry

See actually from the SOB form it will just pick the Retairned earnings account and based on the balancing segment wise the values will be grouped.So if you enable company segment as ur balancing segment then the values will be grouped by the balancing segment wise with retairned earnings account

Hope i answered ur question.

Regards,
Ravi Manchu