Ledger Interview Question:

Suppose 2 companies are there, they have maintained separate chart of accounts, how can you consolidate their activities?

Submitted by: Administrator

In this case you have to have a additional field in the COA called "Alternate Account". Your month end consolidated reports must be based on the alternate account.

Example: Retail sales company has 52000.000 as the Purchase account
Property Management Co. has 54240.912 as the Purchase account
Both these account will have a common "alternate" account example CO52000.000

Please note - If you are using alternate accounting; ensure "Account Creation" is in the hands of "Central" finance so that they can allocate a "alternate number"
Submitted by: Administrator