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Former Member
Dec 02, 2008 at 10:56 PM

F.05 and valuation account issue



I have a crazy question about the Payment document posting. Here is the scenario:

There is an Invoice cretaed through MIRO in USD. The company code is in CAD.

So there are postings against the GR/IR accounts.

If I do Payment runF110, the total exchange gain/loss is posting to the corresponding account based on the currency ex. rate

If the users does F.05 (GR/IR Valuation option checked) at the period end and then if the user runs F110 following month, the payment document shows credit of valuation account postings and debit to the ex change gain/loss account. Why is it showing the valuation account postings here? What should we do with these postings?

Can some one explain me the business process of the whole F.05 and F110 postings please?

Thanks In Advance.