Which two statements are correct?

A,C The Correct Answer
Bakr Reference:
Using Chart of Accounts Rules for Intercompany Balancing: Examples
Use chart of accounts rules for intercompany balancing. You have flexibility in defining your intercompany balancing rules with the setup of a single chart of accounts rule to use for all ledgers that use this chart of accounts.
When you create a chart of accounts rule, you specify the chart of accounts, intercompany receivables, and intercompany payables accounts you want to use, as well as the source and category. It is recommended that the intercompany receivables account be an asset type account, and the intercompany payables account be a liability type account.
You can define rules that are applied to a specific source and category, such as Payables and Invoices, or a specific intercompany transaction type, such as Intercompany Sales. Alternatively, you can choose to create rules for all sources and categories by selecting the source of Other and the category of Other.
You can have a more complex structure and define multiple rules between pairs of ledgers, legal entities, or primary balancing segment values. If you choose to have rules at various levels, then intercompany balancing evaluates the rules in the following order.
Primary balancing segment rules
Legal entity level rules
Ledger level rules
Chart of accounts rules
It is therefore recommended that you set up a chart of accounts rule for every chart of accounts structure you have. This will ensure that Intercompany Balancing will always find a rule to use to generate balancing accounts.