Hierarchy
SAP_FIN (Software Component) SAP_FIN⤷
EC-CS (Application Component) Consolidation⤷
FC00 (Package) Cons: General consolidation (cannot be assign.to FC01-FC09)
IMG Activity
| ID | SIMG_CFMENUCX01_CI06 | Define Methods |
| Transaction Code | S_ALR_87002254 | (junk) |
| Created on | 19981222 | |
| Customizing Attributes | SIMG_CFMENUCX01_CI06 | Define methods |
| Customizing Activity | SIMG_CFMENUCX01_CI06 | Define methods |
Document
| Document Class | SIMG | Hypertext: Object Class - Class to which a document belongs. |
| Document Name | SIMG_CFMENUCX01_CI06 |
In this step you define the consolidation of investment (C/I) methods.
A C/I method is only valid for one accounting technique. If you want to include consolidation units based on different accounting techniques, you will require at least one C/I method per accounting technique.
Example
If the consolidation of investments is to include consolidation units based on the accounting techniques 'purchase method,' 'equity method' and 'proportional consolidation,' you need at least one C/I method for each accounting technique.
Standard settings
The standard SAP system includes methods for the following accounting techniques:
- Purchase method
- Proportional consolidation
- Equity method
- one-line consolidation, in which goodwill is part of the investment book value
- two-line consolidation, in which goodwill is NOT part of the investment book value, but instead is disclosed at a separate FS item
- Mutual stock method
as many features as the purchase method
The methods refer to FS items, which are dependent on the consolidation chart of accounts. Whenever you view a method definition, you always see the FS items that belong to the cons chart of accounts currently set in the global parameters.
If desired, make the following modifications:
- All methods are defined so that they use direct shares when computing acquisitions. If needed, change this setting so that acquisitions are computed with group shares.
- Goodwill is defined with an amortizable life of four years. Modify this if necessary.
- If you intend to use the equity method with a C/I method that uses one-line consolidation, you may be required to disclose the goodwill contained in the investment book value as part of the notes to consolidated statements. In order for you to be able to determine the goodwill in a report, SAP recommends that you insert an additional subitem of the subitem category 1 (transaction type) for "Transfers of Goodwill - Equity Method". You specify this subitem in the method definition for the acquisition item for goodwill (instead of subitem 120).
Activities
Check the predefined methods and define new ones if necessary:
- For each C/I method, determine which accounting technique is to apply.
- For each C/I method, determine which accounting rules - US GAAP or HGB (German Commercial Code) - are to apply.
- Make additional settings - see below - on the detail screen. These are dependent on the definitions previously made in step Determine system utilization for C/I.
- If multiple fields for the treatment of goodwill or negative goodwill are activated, for each method determine whether to perform amortization, direct elimination or periodic reduction.
- If the treatment of hidden reserves/contingencies, goodwill, negative goodwill and negative stockholders' equity is defined at the method level, maintain the applicable settings.
Business Attributes
| ASAP Roadmap ID | 204 | Establish Functions and Processes |
| Mandatory / Optional | 1 | Mandatory activity |
| Critical / Non-Critical | 1 | Critical |
| Country-Dependency | A | Valid for all countries |
Assigned Application Components
| Documentation Object Class | Documentation Object Name | Current line number | Application Component | Application Component Name |
|---|---|---|---|---|
| SIMG | SIMG_CFMENUCX01_CI06 | 0 | HLA0100234 | Consolidation of Investments |
Maintenance Objects
| Maintenance object type | C | Customizing Object |
| Assigned objects | ||||||
|---|---|---|---|---|---|---|
| Customizing Object | Object Type | Transaction Code | Sub-object | Do not Summarize | Skip Subset Dialog Box | Description for multiple selections |
| V_TF600 | V - View | CXI4 | 0000000001 | Consolidation of investments methods |
History
| Last changed by/on | SAP | 19981222 |
| SAP Release Created in |
