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Currency Translation Ratio for INR-EUR

Nov 18, 2016 at 04:11 AM

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Dear Friends,

We have a requirement of in Currency Translation Ratio for INR-EUR. Previously we have maintained Translation Ration for INR-EUR is 100:1 which is using only CO purpose. Now Business want change as 1:1 for this combination.

Here I would like to know if we change according to Business, is there any impact or consequences will be coming in future or present.

Kindly let me know.

Regards,

M.Mohan.

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1 Answer

Vinita Kasliwal Nov 21, 2016 at 09:32 PM
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You maintain the value for currency translation as in OBBS as either 1:1 or 100:1

You specify these rations for each combination of exchange rate type, and source and target currency for translation.

You can use translation ratios to control the number of decimal places used for the exchange rate.

The first digit in the translation ratio relates to the source currency, and the second to the target currency.

generally you should go by the standards which SAP has provided the use of translation ration is to calculate the decimal points OBBS is to mark how much of 1st currency would be how much of 2nd currency.

To explain via an example it is generally needed for weak currency

so for example we have 1USD = 65 INR here you would translation ratio as 1 :1 and for 1 USD = 110.63 YEN so here you would rather maintain translation ration as 1:100

https://archive.sap.com/discussions/thread/1839742

https://archive.sap.com/discussions/thread/868248

Sorry if I have confused you but this is the best I could think about

Regards

Vinita

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