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Former Member
Oct 19, 2011 at 06:16 PM

FAGL_FC_TRANS for Fixed Assets

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SAP experts,

We are doing FC Valuation and translation for a foreign subsidiaries to report US GAAP . ( FAGL_FC_VAL for FC valuation followed by FAGL_FC_TRANS for Translating the group currency with spot/avg raye for BS and PL respectively). Confiured BS adjustment account for translation and the translation difference posted at Month end ( BS adjustment acccount) at month end and reverse it on 1st day of next period. No update on individual accounts.

The FASB docs explains that FASB amount is to strip off the EX rate influence on the BS numbers of Foreign subsidiaries. ( Group currency amount of Foreign Subsidiary in SAP)

Gone thru SDN and came to know the treatment to be given to Fixed assets. Looks like it need not be valuated as it sits on Balance sheet long time. It is not clear . In simple terms do we have to include Fixed assets and accumilated depreciation in FAGL_FC_TRANS or not?

Answer is yes for Translation the what rate . How do I derive the correct historical rate as the assets are carried over a long period when we do not update the assets Group currency amount.

Do we do the translation for all P&L accounts also?

Appreciate early replies.

Regards