For our working example, we have a corporation with several companies in the United States operating with a Fiscal Year of October 1st through September 30th. The acquiring Japanese firm had a Fiscal Year equal to the Calendar Year. The US firm was officially acquired and registered with the SEC as closing on January 12, 2015 and becoming a part of the Japanese firm as of January 13, 2015.
The following process we’re discussing was actually run in a partial manner to change the previous Period End Date for Period Three (December) to be January 12, 2015 instead of December 31, 2014 and Period Four (January) to be January 13, 2015 through January 31, 2015.
The second step in the process, after adjusting entries were posted and balances were approved by both corporations and the SEC, was taken to change the Fiscal Year officially to be January first through December 31st.
There are three main applications that are used to set up Intercompany Transactions in E1; R099102, R099103, and R099104. Our example has been set up in Release 9.0 with Tools Release 8.98. If you are using the Fixed Asset module, you might also use the Fixed Asset Repost, R12910. We’ll discuss when the Fixed Asset Repost will not work and what must be done instead later in this article.
Most of us are familiar with R099102, the General Ledger Repost, since it is used for remedying instances where the General Ledger Detail has become different than what has been posted to the Balances table. You may also have used the Fixed Asset Repost at some point but R09103, which is used to change the periods in the General Ledger detail, is not often needed.
R099104, Clearing Account Balances, is a new but sorely needed Universal Batch Engine (UBE) which will clear the buckets in the General Ledger Balance Table. In years past, the clearing of the Account Balances was something that needed to be done manually. Usually the Repost replaces balances perfectly. The instances where it does not are those cases where there are no transactions in the General Ledger detail for a period, in other words are zero balance in that period. With no records in the General Ledger detail to trigger writing to the Balance table, the new zero balance would not wipe out the balance previously recorded for that period. R099104 solves that problem. It will not, however, clear the beginning balance for an account.