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Exchange Rates for actuals postings when Co Ar Curr and transaction curr are different

Mar 16, 2017 at 10:52 PM

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Hello Experts,

I have some interesting questions from my users. Please help me figuring the right answers. I am from the Project systems background trying to understand and help.

Scenario:

The Controlling area currency is CAD and the company code(CC) currency is USD. The projects are executed in US CC, actual labor hours are posted in USD.

1. When running cost reports the conversions to CAD (CO Ar Curr) does not match up with the exchange rate maintained at OB08. I read from SAP help that when actual are posted in transaction currency and exchange rate type "M" is used to update the CO area currency. Is this statement correct? bcos when I drill out to the CO document that was created for this labor posting it is showing as "P". I am confused when system will use type 'M'. Can some one explain how the system chooses the exchange rate type and the conversion factor when calculating the actual.

2. How does the exchange rates are taken for planned cost. does the system uses the exchange rate type used in the OKEV setting and averages out all the USD/CAD exchange rate maintained for the fiscal year to update the CAD values?

Thanks

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1 Answer

Vengaiah Chowdary Pachava Chinna Mar 19, 2017 at 07:07 AM
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Hi Sravanan,

1) When generate PS or CO reports exchange rate type is picked from CO config (see below pic)

co-config.png

2) Yes it takes from OKEV but system will not do any explicit averaging. It all depends on exchange rate type. If you are using P then this exchange rate type which is maintained yearly. or if you are using M this is monthly rate where you need to maintain exchanges on monthly basis.

Thanking you

Vengaiah


co-config.png (40.2 kB)
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