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Balancing Intercompany Payables and Receivables

What is the impact of not balancing intercompany payables/receivables on a monthly basis? What is the impact on not eliminating intercompany payables/receivables during the consolidation? Is there an instance where either of these two practices would be acceptable?

Solution Summary

In a 300+ word solution, the three questions are carefully answered for better understanding of the impact of intercompany transactions.