Difference between Primary Ledger and Secondary Ledger in R12

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MODULE: ORACLE gl

Question:  Difference between Primary Ledger and Secondary Ledger in R12 ?

Answer:   :   

Primary ledger:

The primary ledger acts as the primary accounting representation

Secondary Leger:

Secondary ledgers represent the primary ledger's accounting data in another accounting representation that differs in one or more of the following ways: 

• chart of accounts

• accounting calendar/period type combination

• currency

• subledger accounting method

• ledger processing options

Use secondary ledgers for supplementary purposes, such as consolidation, statutory reporting, or adjustments for one or more legal entities within the same accounting setup. For example, use a primary ledger for corporate accounting purposes that uses the corporate chart of accounts and subledger accounting method, and use a secondary ledger for statutory reporting purposes that uses the statutory chart of accounts and subledger accounting method. This allows you to maintain both a corporate and statutory representation of the same legal entity's transactions in parallel. 

Assign one or more secondary ledgers to each primary ledger for an accounting setup. 

The secondary ledgers assigned can only perform the accounting for the legal entities within the same accounting setup. 

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