Non monetary remeasurement - IAS21 - CPC

[former_member876253]

Dear Gurus,

We need some help.

We have a system configured with Functional currency = USD

Company code currency = BRL

Other additional currencies such as EUR, GBP, etc

We have a requirement for a Presentation Ledger where posts in BRL (Document currency) must be converted to USD and then by the end of month we have to do a remeasurement from original value of USD back to BRL (it is not a FX valuation).

Example:

Exchange rate on day 1 is 1 USD = 5 BRL

Posted on day 1 1000 BRL in Brazilian company

1000 BRL = 200 USD

Then by the end of month exchange rate now is 1 USD = 5.2 BRL

Normal FX would calculate 1000 BRL = 192.31 USD (we do not want that)

Remeasurement will calculate: 200 USD (original valur on day 1 on functional currency value) = 1040 BRL

40 BRL gain

This is the only revaluation we want.

Using advanced foreign valuation is performing both calculations for the same account and thus given us a wrong value.

Can someone please guide us on how can we achieve this remeasurement only calculation without FX valuation and specific for 1 ledger (not leading ledger).

Thank you.

[JulianoRomanato]

Hello johnnylac.

how are you? I have excluded the Tag "SAP S/4HANA Cloud" and included the Tag "SAP S/4HANA Cloud for Finance" for this question, as Currency is an Object of Finance Line of Business.

Regards.

Juliano Romanato.

[OwenLiu]

Are you using On Prem system or Public Cloud system?

[OwenLiu]

Removed cloud tag.