points to consider while running intercompany elimination in NetSuite:
- Ensure that all intercompany transactions have been properly recorded and matched before running the elimination process. This includes making sure that all transactions are properly classified as intercompany and that the correct intercompany accounts have been used.
- Make sure that the elimination process is performed in the correct order. In general, intercompany eliminations should be performed in the order of revenue, cost of goods sold, and then other expenses. This ensures that all intercompany transactions are properly eliminated and that there is no double-counting.
- Review the elimination entries to ensure that they are accurate and complete. This includes verifying that the correct accounts have been used and that the elimination entries have been properly balanced.
- Consider the impact of the elimination process on the financial statements of each subsidiary. Intercompany eliminations can have a significant impact on the financial statements of each subsidiary, so it’s important to understand the impact of the elimination process and to communicate the results to stakeholders.
- Ensure that the elimination process is performed regularly and consistently. Intercompany eliminations should be performed on a regular basis to ensure that the financial statements are accurate and up-to-date. Consistency in the elimination process will also help to ensure that the financial statements are comparable over time