C/T differences caused by BS items w/o Mov.types

[Former Member]

Hello,

How should the currency translation method be defined in order to expose translation differences from BS items like accounts receivable (w/o movement types) caused both by OB and by fluctuations of exchange rate in a period?

Here is an example.

Closing balance as per 31/12/08 in LC.....80.000

Closing balance as per 31/01/09 in LC.....95.000

Exchange rates:

31/12/08............4.0

31/01/09............4.2

average 1/09......4.1

Translation diff. from OB.............................. -952

Translation diff. from changes of a period........ -87 (changes in period, diff. between Average and Current rate)

Total impact on Translation Adjustment......-1.039

Value in BS............................................ 22.619

BW based (BI7 with BCS 6.0). I will really appreciate your help!

Marina

Edited by: marina sharkansky on Mar 17, 2009 9:49 PM

[Former Member]

Hello Marina and welcome to SDN!

In order to split the difference originated from the rate change and amount change, you need in SEM-BCS to goto the technical view / Method layout / Currency translation and create/edit a template for C/T, checking (ticking) 'Temporal trans diff' flag. And then base your C/T method on this template.

[Former Member]

Thanks for the reply.

However, it does not give me everything I need.

Let say I start in period 1 for an item like cash.

If I have 100 in LC and the end rate is 2 and the average rate is 3, I need the system to calculate exchange rate differences of 100 ((1003)-(1002).

The system does not provide this with the flag.

Thanks

Marina

[Former Member]

>

> Let say I start in period 1 for an item like cash.
> If I have 100 in LC and the end rate is 2 and the average rate is 3, I need the system to calculate exchange rate differences of 100 ((1003)-(1002).

Not exactly so. The C/T difference should appear when different items are translated at the different rate types or rates themselves.

I assume that the average rate is your reference rate? Then, for example, if all your B/S items are translated absolutely equally, then the CTD shouldn't occur at all, even if the specific rate and the reference rate are different:

http://help.sap.com/erp2005_ehp_02/helpdata/en/b4/f4733bb3f4792ee10000000a114084/frameset.htm

[dan_sullivan]

If the reference rate is defined for the beginning of the period rate and the specific translation is for the end of the period rate, the differences will be identified by the translation indicator.

[Former Member]

Hi, Dan.

I am not sure I am completely on your idea.

We post rates as follows: current rate (1001) at the last day of every month, average rate (1002) - at the 1st day of every month (01/01/09 for January average, for example).

As for now, current is our reference rate. Should we change to average instead? If so, how impact of P&L is calculated?

Thank you very much for your help. It seems like you have a complete, tested working solution. Would you be so kind to guide me in details (steps for BS, P&L and ANI items, rates to be set, configurations of layout etc'?) I need it for the Q1/2009, e.g. within 2 weeks ((((.

Thanks!

Marina

[dan_sullivan]

My suggestion is to define a translation key that uses current (1001) for the beginning of the period for the reference translation and use the existing translation key for the specific translation. Thus the desired results should be obtained.