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MEM Intercompany Setup

Use this page to set up different sets of Due To and Due From accounts based on the account type (credit or debit) of the original transaction.

Note: You also have the option to set up different sets of Expense and Revenue accounts if the Intercompany Setup Type option is set to Expense/Revenue Accounts.

Note icon. Note: You might require permission to access the setup pages and perform set up tasks. For assistance, contact your system administrator.

If you use additional dimension, you can set up intercompany for the additional dimensions on the Multi-Entity Management Setup and MEM Additional Intercompany Setup pages.

For examples, see Intercompany: Examples.

Set Up Intercompany

To set up the intercompany distribution account mappings, follow these steps: 

  1. Select the Originating entity and the Destination entity.
  2. In the Due To and Due From Accounts Information area, specify the Due To and Due From accounts for both the originating and destination entities. The destination entity selected must be different from the originating entity.
    1. Alternatively, if the Intercompany Setup Type option is set to Expense/Revenue Accounts, specify the Expense and Revenue Account information.
  3. Repeat these steps to set up the accounts for other originating-destination entity combinations.

Caution: If the same General Ledger account is used for multiple intercompany distribution account mappings, the MEM Trial Balance might not work as expected because Multi-Entity Management uses the General ledger balance as a total.

Delete Intercompany

To delete the intercompany distribution account mappings, follow these steps:

  1. Select the Originating entity and the Destination entity.
    The destination entity selected must be different from the originating entity.
  2. In the Due To and Due From Accounts Information area, delete the accounts that you do not want.
    1. Alternatively, if the Intercompany Setup Type option is set to Expense/Revenue Accounts, delete the Expense/Revenue accounts that you no longer want.
  3. Repeat these steps to set up the accounts for other originating-destination entity combinations.

Fields

The following field boxes are available: 

Field Description
Originating

Select the entity from which intercompany transactions originate. The entity name or description appears to the right of the identifier.

Destination

Select the entity for the destination of intercompany transactions .

Intercompany Setup Type

Specifies which intercompany setup to be configured.

Options:

  • Due To Due From Accounts

  • Expense & Revenue Accounts

Note: This field will only be visible when the “Intercompany Sales with Drop Ship" setting is enabled in the MEM Multi-Entity Management Setup window.
Due To and Due From Accounts Information
Originating Due To and Due From

Account Name

Displays the description of the Due To or Due From account selected.

Due To Account Code

Select the account to be used for the originating entity.

Due From Account Code

Select the account to be used for the originating entity.

To set up other entities and dimensions to use the same Due To or Due From accounts, select the ellipses button and complete the Edit Dimension Set Entries dialog page.

Destination Due To and Due From

Account Name

Displays the description of the Due To or Due From account selected.

Due To Account Code

Select the account to be used for the destination entity.

Due From Account Code

Select the account to be used for the destination entity.

To set up other entities and dimensions to use the same Due To or Due From accounts, select the ellipses button and complete the Edit Dimension Set Entries dialog page.

Intercompany Dropship Expense & Revenue Accounts Information
Originating Expense Account

Expense Account Code

Select the account code to be used for posting expenses for the originating entity during the Sale with Drop Ship process.

Expense Account Name

Displays the name of the Expense account.

To set up other entities and dimensions to use the same Expense or Revenue accounts, select the ellipses button and complete the Edit Dimension Set Entries dialog page.

Note: To import the existing expense and revenue accounts through configuration package, refer to the Import IC Expense & Revenue Setup window.
Destination Revenue Account

Revenue Account Code

Select the account code to be used for posting revenue for the originating entity during the Sale with Drop Ship process.

Revenue Account Name

Displays the name of the Revenue account.

To set up other entities and dimensions to use the same Expense or Revenue accounts, select the ellipses button and complete the Edit Dimension Set Entries dialog page.

Note: To import the existing expense and revenue accounts through configuration package, refer to the Import IC Expense & Revenue Setup window.

Edit Dimension Set Entries

Use this dialog page to add other dimensions to use common Due To and Due From accounts for transactions where MEM intercompany journal entries are created. This setup allows you to keep track of each intercompany payables or receivables transaction without having to create too many Due To and Due From accounts for each pair of entities. ClosedView example.

For example, the following Intercompany Setup is as follows: 

Intercompany Setup Originating: ADM   Destination: Prod  
Due To and Due From accounts
Originating
Due To Account Code ORG_ADM_DT_PROD   Dimension Set Entries Area: 10
Due To Account Code ORG_ADM_DF_PROD   Dimension Set Entries empty
         
Destination
Due To Account Code DEST_ADM_DT_PROD   Dimension Set Entries Area: 30
Due To Account Code DEST_ADM_DF_PROD   Dimension Set Entries Area: 40

On the General Journalspage, the transaction header uses the ADM Department Code. The following line is added: 

Department Code Customergroup Code Posting Date Document Type Document No. Account Type Account No. Account Name Description
PROD SMALL January 2, 2021 Payment 123 G/L Account 20700 Accrued Salaries & Wages Accrued Salaries & Wages

The posting preview shows the following distributions: 

Department Code Customergroup Code Posting Date Document Type Account No. Description Amount Bal. Account No. Area Code
PROD SMALL January 2, 2021 Payment 20700 Accrued Salaries & Wages 100.00 20800  
PROD SMALL January 2, 2021 Payment 20800 Accrued Salaries & Wages -100.00 20700  
PROD   January 2, 2021 Payment DEST_ADM_DF_PROD Accrued Salaries & Wages 100.00   40
ADM   January 2, 2021 Payment ORG_ADM_DT_PROD Accrued Salaries & Wages -100.00   10
ADM SMALL January 2, 2021 Payment DEST_ADM_DF_PROD Accrued Salaries & Wages 100.00    
PROD   January 2, 2021 Payment ORG_ADM_DT_PROD Accrued Salaries & Wages -100.00   30

Actions

This page contains the following actions: 

Button Description
Import

Allows you to select a file for importing existing Due To and Due From accounts.

For file format information, see Import Intercompany Setup.

Note icon. Note: The Import action is a hidden field, as of MEM version 1.1.102.0. For more information about accessing hidden fields, see Work with fields and columns.