Prepare intercompany reconciliations and consolidation eliminations
Matches intercompany balances across entities, explains mismatches, and drafts the elimination entries for consolidation.
The prompt
Help me reconcile intercompany balances and prepare consolidation eliminations.
Entities and functional currencies: [LIST]
Intercompany balances by entity pair: [PASTE - receivables/payables, loans, interest, management fees, sales/purchases, from each side's books]
Intercompany agreements: [e.g. "monthly management fee of 5% of revenue", "loan at 4%"]
FX rates used: [month-end and average rates]
Ownership structure: [percentages, any non-controlling interests]
Framework: [US GAAP / IFRS]
Steps:
1. Match each pair: A's receivable vs. B's payable, A's revenue vs. B's expense.
2. Explain each difference - timing (in transit), FX translation, wrong counterparty coded, missing charge on one side, or a genuine dispute.
3. Propose correcting entries in the entity books first.
4. Draft elimination entries: balances, revenue/expense, intercompany loans and interest, investment in subsidiary vs. equity, and unrealized profit in inventory if goods were sold between entities.
Return:
1. A matching matrix: Entity pair | Account | Side A | Side B | Difference | Cause | Fix.
2. Correcting entries by entity.
3. Elimination entries with explanations.
4. Process fixes to reduce mismatches next month (e.g. cut-off date, single billing schedule).
Mark any assumed FX treatment or ownership-related entry as [CONFIRM WITH CONTROLLER].
Highlighted [brackets] are blanks to replace with your own details.
Fill in the blanks and use this promptMore Finance & Accounting prompts
What to fill in
- LIST
- e.g. "monthly management fee of 5% of revenue", "loan at 4%"
- month-end and average rates
- percentages, any non-controlling interests
- US GAAP / IFRS
- CONFIRM WITH CONTROLLER
How this prompt is built
This prompt follows the Few-Shot structure (Few-shot prompting). A few-shot prompt includes one or more worked examples of the input and the output you want, so the model can copy the pattern instead of guessing it.
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