Do you need to have an Accounting Flexfield segment that is flagged with the Intercompany qualifier?
The intercompany segment is optional. It is NOT required in order to do intercompany balancing. If used, the intercompany segment can be any segment other than the natural account, balancing or secondary segment. Also, it should not be the same as the cost center segment since the segment values in the intercompany segment should be a super set of the values in the balancing segment if you want to use the intercompany balancing features provided by GL. The Intercompany Segment provides another way to do the intercompany balancing, instead of using different natural accounts to track intercompany balances, you can use the intercompany segment in the Chart of Accounts to record the same detail. It is more just a matter of preference of how you want to track the intercompany transactions. Refer to Note 151130.1 to see additional information regarding How Intercompany Journal Lines are Created in General Ledger 11i. Also see the Oracle General Ledger Users Guide, Chapter 5: Accounting for
