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Foriegn Currency diff in Parellel currencies.

Former Member
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Hi all,

I have a typical issue. My CC curr INR, 2nd LC USD, and 3rd LC SGD

We use FM-Commitment items for budgeting and CO-IO for cost collection.

FM area curr USD, so the budgets for the commitment items were maintained in USD

ISSUE

PO: PO created for 100 INR (No accounting entry-No issues)

MIGO: For this accounting entry GR/IR account is credited with 100 INR in LC, 2.25 USD in LC2, and 3.25 SGD in LC3.

MIRO: For this accounting entry GR/IR account is debited with 100 INR in LC, 2.30 USD in LC2, and 3.50 SGD in LC3.

So when I use F.13 to clear the open items in GR/IR account, system posts some line items to exchange loss expense account.

Where as my LC balance is 0 only, but there is a small diff in USD and SGD.

So my accounting entry is posted like (During F.13)

(PK) (GL) (AMT in LC) (AMT in LC2) (AMT in LC3)

(40) (Exch loss) (0.00 INR) (0.05 USD) (0.25 SGD)

(50) (GR/IR) (0.00 INR) (0.05 USD) (0.25 SGD)

There is no issue in LC and LC3 clearings.

For LC2, the amount Dr 0.05 USD is consuming from the budget figures (from the commitment item maintained in exch loss GL account). Since my budgeting curr and LC2 are same. (USD)u2026..this is what we are not expecting at all...

We made settings in OBY6 for this Comp Code as No Forex diff, when clearing in LC. But still this issue is coming.

Local currency is the base currency for the LC2 and LC3 conversion.

We are expecting the accounting entry at the time of F.13 like , there would not be any line items in that clearing document. (Clearing document without line items)

I know that, in PO, there is a check box called Exch rate fixed, if we select it during PO creation, this can be prevented. But all of my POs are created long back and GRN, INV are also done. We cannot edit the POs now.

Is there any other way, where we could not get any line items during clearing?

Thanks,

Srinu.......

Accepted Solutions (1)

Accepted Solutions (1)

Former Member
0 Kudos

Hi Srini,

If I read the help on OBY6 it says " No ex.rate difference when clearing in local crcy" so you need to clear the documents in Local Currency. However in F.13 clearing happens without mentioning Clearing Currency. I would suggest to use F13E - With Specification of Clearing Currency. Here you can specify in which Currency GRIR should be cleared and I think you would get the desired result.

Regards,

Sanjay

Former Member
0 Kudos

Hi Sanjay,

Thanks for your inputs.

I forgot to mention that, i have already tried F13E also by giving the clearing curr (INR), but still i am not getting the desired outcome.

And i removed post automatically selection for my GR/IR account and i tried F-03 to clear the open items by giving clearing currency. But no luck.

Since these entries are making a huge diff in actual cost and budge consumed.

Please share your valuable inputs in order to fulfill my requirement.

Thanks,

Srinu

Former Member
0 Kudos

Hi Srini,

I would suggest using LC2 currency for Clearing the GRIR since you want this currency not to be used for creating Exch Diff. posting. However I would suggest to use F-03 TCode instead of F13E so that you can simulate the entry and see the exch gain or loss entry affecting which currency.

Regards,

Sanjay

Former Member
0 Kudos

Hi Sanjay,

Thanks again.

I tried to clear with all the available currencies using F-03.

The line items in clearing currency and local currency are showing as 0 values, but whereas for LC2 (USD) it is showing a small diff, which is being posted to accounting and budget is also consuming for that.

Can you please check in your system with this specific case....

Thanks,

Srinu

Former Member
0 Kudos

Hi Srini,

Sorry I don't have only 3 Currencies in my Company not 4 Currencies like in your case. However I see in your reply you are saying in Clearing CUrrency system is displaying zero balance, so my point is did you try using USD as Clearing Currency as well?

Regards,

Sanjay

Answers (1)

Answers (1)

Former Member
0 Kudos

Hi Srinu,

I think the system posting is correct, the real reason, which resulted the huge difference between actual cost and budget consumed, is that the exchange loss posted to another commit item maintained in GL account.

You can have a try to clear the default commit item in exchange loss GL account, then do F.13 see if get correct commit item.

Regards,

Former Member
0 Kudos

Hi Sanjay,

I tried using USD as clearing currency also.

The result = 0 value lines in doc curr and loc curr, but there is sone value for the debit line item in LC2 curr.

Even though my clearing curr and LC2 curr are same. (USD)

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Hi Jeff,

I dont mind about the usage of commitment item at all.

Please read my thread again for better understanding.

I dont want any line items during clearing.(clearing document without line items at all)

Please suggest.

Thanks,

Srinu