WWW.ERPTREE.

COM
Application: Oracle General Ledger
Title: Inter Company
Content
About Inter Company……………………………………………………
Steps Required for Inter Company………………………………………
1. Assign Flex field Qualifier to Company Segment……………..
2. Define New Legal Entity ……………………………………..
3. Assign Legal Entity to Primary Ledger……………………….
4. Assign Balancing Segment Values to Legal Entity…………..
5. Enable Inter Company Balancing at Primary Ledger……….…
6. Create Inter Company Balancing Rules………………………..
Test Case ………………………………………………………………..
7. Create Inter Company Journal and Post it …………………….
8. Query The Inter Company Journal to Check The Result………

WWW.ERPTREE.COM Inter Company 2

Step-1 Assign Flex field Qualifier to Company Segment
Application: General Ledger

Nav: Setup  Financial  Flex Fields  Key  Segments

1. Query your structure

2. Select company segment
3. Click on flex field qualifiers

WWW.ERPTREE.COM Inter Company 3

1. Enable intercompany flex field qualifier
2. Save it

WWW.ERPTREE.COM Inter Company 4

Step-2 Define New Legal Entity
Application: General Ledger

Setup  Financial Accounting Setup Manager  Accounting Setup

1. Query your ledger

2. Go to legal entities

WWW.ERPTREE.COM Inter Company 5

1. Click on create legal entity

WWW.ERPTREE.COM Inter Company 6

1. Enter county name
2. Enter legal entity name
3. Enter organization name and identifier
4. Enter pan number
5. Enter the address
6. Click on apply

WWW.ERPTREE.COM Inter Company 7

1. Legal entity has been created

Step-3 Assign Legal Entity to Primary Ledger

WWW.ERPTREE.COM Inter Company 8

Application: General Ledger

Setup  Financial Accounting Setup Manager  Accounting Setup

1. Query your ledger

2. Click on add legal entity

1. Click on add legal entity

1. Select your legal entity

WWW.ERPTREE.COM Inter Company 9

2. Click on select

1. Click on Apply

WWW.ERPTREE.COM Inter Company 10

Step-4 Add balancing segment Value to Legal Entity
Application: General Ledger

Setup  Financial Accounting Setup Manager  Accounting Setup

1. Click on update balancing segment value

WWW.ERPTREE.COM Inter Company 11

1. Click on add balancing segment value

WWW.ERPTREE.COM Inter Company 12

1. Select company segment values

1. Click on apply

1. Balancing segment values added

WWW.ERPTREE.COM Inter Company 13

WWW.ERPTREE.COM Inter Company 14
Step-5 Enable Inter Company Balancing at Primary Ledger
Application: General Ledger

Nav: Setup  Financial Accounting Setup Manager  Accounting Setup

1. Query your ledger

2. Click on ledger options
3. Under journal processing enable intra company balancing
4. Click finish

WWW.ERPTREE.COM Inter Company 15

Step- 6 Create Inter Company Balancing Rules
Application: General Ledger

Setup  Financial Accounting Setup Manager  Accounting Setup

1. Query your ledger

2. Click on intercompany accounts

WWW.ERPTREE.COM Inter Company 16

1. Define relationship for first legal entity
2. Click on define relationship

1. Click on add another row

WWW.ERPTREE.COM Inter Company 17

1. Enter mandatory information

WWW.ERPTREE.COM Inter Company 18

1. Select transacting balancing segment value as all other
2. Select trading partner legal entity as demo legal entity(second)
3. Select trading partner balancing segment values as all other
4. Click on accounts define

WWW.ERPTREE.COM Inter Company 19

1. Click on add another

WWW.ERPTREE.COM Inter Company 20

1. Enter intercompany payable and receivables accounts with first legal entity balancing
segment value code combination
2. Click on apply

1. Click on cancel

WWW.ERPTREE.COM Inter Company 21

1. Define relationship for second legal entity
2. Click on define relationship

1. Click on add another row

WWW.ERPTREE.COM Inter Company 22

1. Enter mandatory information

WWW.ERPTREE.COM Inter Company 23

 1. Select transacting balancing segment value as all other
2. Select trading partner legal entity as erptree legal entity (First)
3. Select trading partner balancing segment values as all other
4. Click on accounts define

1. Click on add another

WWW.ERPTREE.COM Inter Company 24

WWW.ERPTREE.COM Inter Company 25
1. Enter intercompany payable and receivables accounts with second legal entity balancing
segment value code combination
2. Click on apply

1. Click on cancel

WWW.ERPTREE.COM Inter Company 26

1. Change the status in progress to complete

1. Click on done

WWW.ERPTREE.COM Inter Company 27

Step-7 Create Inter Company Journal and Post it
Application: General Ledger

Nav: Journal  Entry  New journal

1. Enter journal the debit line with first legal entity balancing segment value code combination
2. Enter credit line with second legal entity balancing segment value code combination
3. Post it

WWW.ERPTREE.COM Inter Company 28

Step-9 Query the Intra Company Journal to Check the Result
Application: General Ledger

Nav: Journal  Enter

1. Select your ledger

2. Click on find
3. Place the curser at posted journal
4. Click on review

WWW.ERPTREE.COM Inter Company 29

1. System will add intra company payables and receivables as shown below

WWW.ERPTREE.COM Inter Company 30