Parallel currencies - Internal order to AUC settlement issue

[narasimhulu_konnipati]

Hi All,

I need a clarification on the below issue.

We have an issue where the Parallel currencies are not transferring with the Internal order line items avg rate while settling it to AUC asset.

Actually, we have 1 LC and 2 Parallel currencies. At the time of Internal order settlement to AUC, the value of parallel currencies from IO to AUC are posting at current exchange rate instead of avg IO line items rate. In other way, the Internal order value is not completely settling to AUC in parallel currencies. I have observed this for very few assets and rest are fine. Is this SAP Standard? If yes, how this works?

Ex:- Internal order XYZ is carrying the asset cost like below

GBP - 100 (LC1)

USD - 135 (Group - LC2)

EUR - 120 (LC3)

When we settle this IO XYZ to AUC 12345, then the values are

GBP - 100 (LC1)

USD - 130 (Group - LC2)

EUR - 115 (LC3)

I tried finding in SAP market place if there are any notes relevant to this issue. But somehow i did not see any.

Please through some light on this

Thanks,

Narasimhulu

[former_member1270641]

Hi Narasimhalu,

Settlement is CO functionality and is always done in Object currency only. -- Standard SAP.

Hence when settlement happens, summary or line item, system picks the valid exchange rate and not the rate at the time of original posting (in case of line item) or average rate (in case of summary).

For more information on this - Please refer to SAP note 158953

Hope this answers your query and helps.

Thanks,

S

[former_member182098]

Hi Narasimhulu,

Please check the pattern of the internal order that is causing this problem.

Compare the order type settings to problematic one to the correct one. Is it still the case with the some assets are fine and some not settling fully in the same internal order type.

What is the exchange rate type that has been used in your CO configuration settings. Please check what is the exchange rate that is maintained for this exchange rate type.

This may give some clue.

Regards,

Ravi

[narasimhulu_konnipati]

Hello Ravi,

Thank you so much for your response.

We have only one order type used for Capital procurement, in other way Investment order type. In this, all assets are posting fine but very few are having this kind of problem.

We use M rate in FI and P rate in CO. But this P rate in CO is only for planning. As i said, System is picking the current M rate from OB08 and posting.

Probably, i should check with SAP but wanted to check with experts before i approach SAP.

Thanks,

Narasimhulu

[ameet_desai]

Hi,

If the system is picking up the rates from OB08, Why don't you maintain the same rates for all the currencies as the document posted date on the settlement date.

For E.g. GBP-USD rate at the time of Document entry was say 1.45, the settlement is done on 31st march, Maintain the same rate of 1.45 for GBP-USD on 31st March. Then there will not be any difference. Similarly maitain rates for GBP-Euro.

Thank You.

Regards,

[Former Member]

Hi

If the Internal Order cost is thru Purchase Order we can hedge it. We can fix the exchange rate while creating Purchase Order.

Regards,

[former_member188028]

Please check OAYD for this.

Allow manual inputs to foreign currency areas. In your case you have to activate this for your USD & EUR depreciation areas.

[narasimhulu_konnipati]

Hello Murali,

Thank you so much for your kind response.

We have 99% AUC assets ran without any issues and the values are perfectly transferred from Internal order. In that case, how this new activation of OAYD helps us? Moreover, i think this is used for manually specifying the values of parallel currencies and used at the time of Go-Live.

Kindly let me know if my understanding is wrong.

BR,

Narasimhulu