Change Account Currency - Implications

[Former Member]

Experts,

We have a G/L account whose currency is USD (used to be CAD earlier), and the Co Cd currency is CAD. We now found out that a document needs to be posted in CAD (Document Currency) for us to take care of an issue being generated during revaluation.

How do we post a Doc in CAD considering this account currency is USD ?

I understand that if we make the account balance zero, we can change the account currency to CAD, but how do we change it back to USD after posting the document as eventually that needs to stay that way ????

All answers/thoughts/inputs would be duly appreciated and duly rewarded with points. Any other implications that need to be considered while doing this change ??

Thanks,

Nandita

[Former Member · Accepted solution]

Hello Nandita,

When you change the currency in the master data of an account, you

should distinguish between the following cases:

1. The account was managed in a currency different to the local

currency (company code currency) before the changeover and should be

changed to the local currency.

2. The account was managed in local currency before the changeover and

should be changed to a currency different to the local currency.

3. The account should be changed from one foreign currency to another

foreign currency.

Case 1: For this constellation, the changeover can be carried out

without any objections.

Case 2: For this constellation you should ensure the following: The

balance of the account must be equal to zero in a past period which is

still required for some evaluations like the account balance interest

calculation or the balance display. In this case you must also take into

account the balance carried forward of the previous fiscal year.

The reason for this is as follows:

You can only post to accounts managed in foreign currency in the

corresponding currency. That is the transaction figures of the account

are only updated for postings in one currency (account currency).

On the other hand, you can post to accounts managed in local currency in

all currencies. The transaction figures are then updated on these

accounts in local currency for all postings (also if the transaction

currency is not equal to the local currency). Therefore postings in

other currencies are also contained in the balances of these accounts.

If the balances of these accounts are not equal to zero at the

changeover, this 'remaining balance' is included in the next periods.

This 'remaining balance' then also results from postings in other

currencies, which is actually no longer permitted after the changeover.

Evaluations which were established on balances from before the

changeover are also based on the 'incorrect ' balances, since these also

result from postings in other currencies. This causes incorrect values

like for example for the G/L account balances interest calculation

(RFSZIS00) or the G/L account balances display (RFSSLD00).

For this reason SAP recommends not to change the account currency from

the local currency to another currency but to create a second account

which is managed in a foreign currency. Then post the amounts of the old

account via a clearing account to the new account. After this, the old

account managed in local currency should be blocked.

Case 3: The same problems as in the 2nd case occur here and you should

therefore deal with this case as for 2.

All in note 146824.

Cheers,

Jon