Secondary Tracking Segment feature:

This flexfiled qualifier is used to identify the secondary tracking segment in chart of accounts to process
the income statement closing journals, translation and revaluation journals. This qualifier can be
enabled to any segment other than balancing and natural segment.

How does it work for Income statement closing journals?

Suppose you’re accounting flexfiled have 3 segments i.e. Company, Department and Account. Company
is representing as balancing segment and department is representing as cost centre as well as secondary
tracking segment.

When you run the income statement closing journals program, the ‘Retained earnings account’ will be
tracked by a pair of balancing segment as well as department segment.

Suppose the following entries are made during the year.

01-100-Revenue 100000

01-100-Expense 80000

1- 200-Revenue 60000

01-200-Expense 50000

At the yearend closing the following journals are created.

01-100-Revenue 20000

01-200-Revenue 10000

How does it work for Revaluation?

In the revaluation process, the unrealized gain and lose account will be tracked by a pair of Balancing as
well as secondary tracking segment.

Suppose the following entries are made during the year.

01-100-Assets 50000

01-100-Liability 40000

01-200-Assets 30000

01-200-Liability 50000

The following entries will be created after running the revaluation.

01-100-Unreailsed Gain 10000

01-200-Unreailsed Lose 30000

How does it work for Translation?

In the Translation process, cumulative translation adjustment account will be tracked by the pair of
Balancing segment as well as secondary tracking segment.

For example, you have the below journals to be translated into different currency to consolidate the
balances for reporting purpose.

Please look at the above at year end journals.