What is a Intercompany Transaction Audit Report?

Intercompany Audit reports are considered important consolidation tools and are used by Group Controllers to locate and review all intercompany transactions in a given period. One key functionality in this type of report will find internal transactions that have taken place between subsidiaries during the month. This includes sales, purchases, payables and receivables. The report also displays both the due-to and due-from parties in a transaction. You will find an example of this type of report below.

Purpose of Intercompany Audit Reports

Companies and organizations use Intercompany Audit Reports to quickly get a list of intercompany activity in any given period. When used as part of good business practices in a Finance & Accounting Department, a company can improve its consolidation process and speed, as well as, reduce the risk that transactions are not correctly eliminated.

Intercompany Audit Report Example

Here is an example of an Intercompany Transaction Audit Report.

Intercompany Transaction Audit Report Example

Intercompany Transaction Audit Report Example

You can find hundreds of additional examples here.

Who Uses This Type of Report?

The typical users of this type of report are: Group Controllers and Accountants.

Other Reports Often Used in Conjunction with Intercompany Audit Reports

Progressive Finance & Accounting Departments sometimes use several different Intercompany Audit Reports, along with intercompany elimination forms and reports and other management and control tools.

Where Does the Data for Analysis Originate From?

The Actual (historical transactions) data typically comes from enterprise resource planning (ERP) systems like: Microsoft Dynamics 365 (D365) Finance, Microsoft Dynamics 365 Business Central (D365 BC), Microsoft Dynamics AX, Microsoft Dynamics NAV, Microsoft Dynamics GP, Microsoft Dynamics SL, Sage Intacct, Sage 100, Sage 300, Sage 500, Sage X3, SAP Business One, SAP ByDesign, Acumatica, Netsuite and others.

In analyses where budgets or forecasts are used, the planning data most often originates from in-house Excel spreadsheet models or from professional corporate performance management (CPM/EPM) solutions.

What Tools are Typically used for Reporting, Planning and Dashboards?

Examples of business software used with the data and ERPs mentioned above are:

  • Native ERP report writers and query tools
  • Spreadsheets (for example Microsoft Excel)
  • Corporate Performance Management (CPM) tools (for example Solver)
  • Dashboards (for example Microsoft Power BI and Tableau)

Corporate Performance Management (CPM) Cloud Solutions and More Examples