IBM
C2020-605 · Question #73
Company ABC has a journal type GAAP accrual that exists on their books for consolidation purposes. However, this accrual should not be included in the final consolidation. Several other companies…
The correct answer is A. Create GAAP journals in a journal type that can be excluded from the closing version used for the. See the full explanation below for the reasoning.
Question
Company ABC has a journal type GAAP accrual that exists on their books for consolidation purposes. However, this accrual should not be included in the final consolidation. Several other companies also have journal type GAAP entries that need to be excluded from the final consolidation. How should this be done?
Options
- ACreate GAAP journals in a journal type that can be excluded from the closing version used for the
- BCreate a fictitious company in the same group as company ABC, and then copy company ABC's
- CCopy all other company GAAP journal types into a new journal type, and then exclude existing
- DCreate a fictitious company in the same group as company ABC, and then copy company ABC's
How the community answered
(25 responses)- A72% (18)
- B16% (4)
- C8% (2)
- D4% (1)
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