Define members for NCI calculations

Several accounts are required to calculate NCI.

• In Europe, the whole equity amount is split between the part given to the Group account and the part given to a Minority account. 
• In North America and Asia, only the minority amount is allocated, and the group amount remains in the original accounts.

In North America and Asia, group accounts aren't used when calculating NCI. Only ‌Minority accounts are used when calculating NCI. The table below shows a simple example of an NCI calculation for Capital Stock where the ownership rate is 80%. In this example, there's an allocation of 20% from the Capital Stock to the Capital Stock Minority account.

In Europe, group and minority accounts are used when calculating NCI. The table below shows a simple example of an NCI calculation for Capital Stock where the ownership rate is 80%. In this example:

• An allocation of 80% from the Capital Stock to the Capital Stock Group account.
• An allocation of 20% from the Capital Stock to the Capital Stock Minority account.

The account hierarchy lists system accounts that need to be created to calculate NCI. This hierarchy contains both the Group and Minority accounts. The Group accounts store the amounts attributable to the Shareholders' and the NCI accounts store the minority interest amounts.

Below is a reference account hierarchy including Group and Minority accounts which may be updated as per customer's char of account.

The key account categories include:

Your provisioned system should already have a StockHolderEquity member to store the result of the Non-Controlling Interest calculation. This member can be moved under a different parent if needed. This member can also be renamed, but the consolidation rules must be updated.