Automate Elimination of Unrealized Gross Profit/Loss from Intercompany Sale of Inventory First of all, in our case, the SEPARATE financial statements of each legal entity record inventory at the intercompany purchase price (inclusive of gain or loss). For example, Subsidiary A sells inventory costing 100 to Subsidiary B for 120. We can't just present the mark-up as a separate line item in this case because it will understate the inventory asset in the SEPARATE financial statements. Subsidiary B, in its own financial statements, must record the inventory asset at 120. In the consolidated financial statements, we must eliminate any unrealized gain/loss. For example, if Subsidiary B sold half of that inventory to external parties in the same perios, then the remaining inventory asset of 60 includes unrealized gain of 10 which must be eliminated in the consolidated report. Has anyone found a way to automate or semi-automate this? How do you track the purchase of intercompany inventory and eventual sale to third parties? Through a custom field or through inventory detail for lot numbered and serial numbered?