[Najeem JanatAli]

Hi All 

We are using a shared chart of account. we have a same account number for Due to & Due from in both the intercompanies. Eg

Company ABC
Account# : 230100 :  Due to / from company ABC/ XYZ

Company XYZ
Account # : 230100 :  Due to / from Company XYZ/ ABC?

Due we require a Due to / Due from different account for consolidation and elimination. Or the same account is ok and will work

Please advise your expertise

Thanks and best regards

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Nazim Lalji
Dynamics AX Analyst

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[Bradley Bertchie, PMP]

You can use the same account, however doing so will add some overhead to reconciling

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Bradley Bertchie, PMP
D3FO Project Manager / Financial Functional Consultant
Edgewater Fullscope
Denver CO
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[Najeem JanatAli]

Thanks Bradley for the response

Please can you advise what does that means add some overhead to reconciling or if you can provide some example would be great

Thanks and best regards

——————————
Nazim Lalji
Dynamics AX Analyst

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[Zvika Rimalt]

This approach (having single account per 2-company relationship) will not scale very well.
For 3 companies you’ll need 3 accounts (2+1)
For 4 companies you’ll need 6 accounts (3+2+1)
For 5 companies you’ll need 10 (4+3+2+1)
and so forth

For a small set of companies it might be somewhat useful approach as when consolidating you would expect each account to be exactly 0, so can save you some elimination journals

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Zvika Rimalt
Functional Consultant
Vancouver BC
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