Level 30 Journal Entries

[Former Member]

Does the eliminaiton of Investment /equity journal entry is normally reversible of nature in next period?

Means the first ,subsequent consolidation entries do they get reversed in the next period?

[dan_sullivan · Accepted solution]

No they are not reversed. All COI entries are periodic only and not cumulative.

[Former Member · Accepted solution]

Dan

I understand that COI postings are periodic, i.e, not reversing.

However with respect to how COI reads the data - does it read cumulative balances or periodic balances.

i.e., if a prior period's base data has changed and COI has not been rerun in that period - will a COI run in the current period read the cumulative position and pick up the changed data from the prior period ?

Thanks

[dan_sullivan · Accepted solution]

COI is periodic only. So if the period data is changed, abd COI is not executed it will not adjust for this in the subsequent period. It is therefore important to re-execute COI in the same period.

[Former Member · Accepted solution]

Thanks

[Former Member]

AFAIK, no. They are not to be reversed.