COI Question

[Former Member]

In the BCS implementation in the opening balance for all companies the MI is coming from source system as part of opening balance in level 00 information.

Now the COI functionality needs to be automated with configuration and BCS system is supposed to generate the MI entires

Q1. To eliminate the source system MI entries do we have pass the adjustment journal entry at level 00 and clear out the MI in BCS, so that system can create the required entries at level 30 in the first consolidation in BCS? How best it is handled?

Q2.Is there is difference between the legacy MI amount and BCS COI for generated MI amount, how it is to be handled?

Q3.In addition to system generated MI entries, to match with historical amount if we pass the additional journal entry at level 30 for MI, will the system reverse these entries during the 'Total divesture' in the future times?

Appreciate your inputs...

[Former Member]

for Q3, as far as I remember, When you add manual additional entry at level 30 using document type as follow :

Posting Level = "Consolidation Group - Based Entry", the system will recognize this entry and reversed it when you do the divestiture in the future times.

[dan_sullivan]

A1: It would be adviseable to remove the legacy MI via source system adjusting entries or if needed at posting level 01 or 10 in BCS.

A2: In some cases there may be legitimate, contractual reasons for having MI adjustments in either source GL or in BCS. In this case it can be treated as either source GL adjustment or as BCS posting level 01 or 10 entries.

A3: The manual posting level 30 entry to adjust MI will not be factored into the reversal of MI upon divestiture. There may be a way to include postings to the corresponding statistical items to make this happen, but I have not witnessed or tested this concept.