Define Control Tables - Elimination of Investments, Joint Venture Companies

Here you define how the eliminations of investments in joint venture companies will be performed on the joint venture company. Usually accounts for equity and surplus values are used. Though, if you do not use balance control in the investment register, you will use investment accounts instead (plus any surplus value accounts). Thus the amounts from the parent company will be used as basis for the calculation. The journal is booked on the subsidiary in a strictly legal structure.

Note:

Contribution Version is not in use for this control table.
The offset account for control table E100, E105, E106, E110 and E115 are usually the same so that automatic journals make a zero sum to the offset account in the consolidated group.
If you have more than one owner of a joint venture, you must use the usual equity accounts in the acquisition register and as From Account. Otherwise eliminations will not be booked on the correct accounts on the level where the company is consolidated with the purchase method.
Joint venture companies are handled the same way as associated companies.

Procedure

On the Maintain menu, click Configuration/Automatic Journals/Control Tables/Acquisition Calculations. The Control Tables - Acquisition Calculations window opens.
Select control table E115, Elimination of Investments, Joint Venture Company. Click OK.
Enter a journal number. The automatic journal type is displayed automatically.
If necessary, enter closing version and journal type you want to use as basis for the calculations. If you leave these text boxes empty, reported values and manual company journals will be used as basis for the calculations and the automatic journal will be booked on the same journal types as the original values.
In the From Account column, enter the accounts valid for elimination on the joint venture company.

Working with a complete acquisition register (Force Balance Control), you should use the equity account plus any surplus value account. Using No Balance Control, you should use the account for investments in joint venture companies plus any surplus value accounts.
In the Sign column, usually you enter a plus sign as the amounts in the investments register are booked on debit.
In the To Account (OB), enter the OB account belonging to the selected To Account for change.
In the To Account (change) column, enter the accounts where the elimination should be posted.

Usually you use the same account as the From Account. If you have a non integrated reserves specification, you need to have both the detailed account and the main account as To accounts.
Enter an offset account, either in the upper part of the window or in the To Account column using the same From Account as for the actual Change Account.

An account must be entered in order to balance the journal, unless you book the difference on other accounts. The offset booking will only handle balance type To Accounts (A, L, E, I and C).
Click Save.