Oracle General Ledger (GL) Interview Questions and Answers

 

I am confused about inter company journal balancing.
As far as I can tell, it does one or both of:
1) If you enable it you can post incorrect (i.e. imbalanced) journals. And if you disable it you ca not (i.e. all journals must balance - A GOOD THING, RIGHT)?

As far as I can tell, it does one or both of:




1) If you enable it you can post incorrect (i.e. imbalanced) journals. And if you
disable it you ca not (i.e. all journals must balance - A GOOD THING, RIGHT)?





Option 1 is the correct one.If we enable it then we can post unbalanced intercompany
journals i.e debit <> credit for a balancing entity. For this we have to define
intercompany accounts in setup-->Accounts-->Intercompany accounts, which will
post the unbalance part to this intercompany account.





And if you disable it you cannot post the journals which are out of balance.

Posted by:Richards