Foreign Currency Valuation of Balances: Performing Valuations 

Use

It is now the end of the month. You want to valuate the balances of the model company in a foreign currency and if necessary, post the profit or loss from the valuation to the profit and loss statement.

For this reason, there is a report in the system for performing the valuation and automatically making the necessary adjustment postings.

Procedure

  1. Call up the transaction as follows:
    2.

    Menu Path

    Accounting ® Financial Accounting ® General Ledger ® Periodic Processing ® Closing ® Valuate ® Foreign Currency Valuation

    Transaction Code

    F.05

  2. Enter the following data:
    3.

    Field

    Data

    Company code

    1000

    Key date

    Last day of current period

    Valuation method

    DEMO

    Valuation in curr.type

    10

    Postings tab page

    		 

    Creating postings

    Select

    Batch input session name

    Your user name

    Document date

    Last day of current period

    Posting date

    Last day of current period

    Posting period

    Current period

    Selections tab page

    		 

    Valuate G/L account balances

    Select

    G/L account

    113150

    The DEMO method describes a method for valuating balances in foreign currency. We have defined various methods in the IDES System. The DEMO method uses the lowest value principle for valuation. The valuation difference is only output if it represents an expense (that is, a loss from the exchange rate difference).

    If you want to run a valuation without making any postings, do not select the Creating postings field.

  3. Choose .

    4. The system outputs a log with the valuation of the balances per business area. You should see a valuation difference for business area 9900. No postings have been created.

    If you enter an exchange rate that is lower than the previous rate, the system does not calculate a difference. In this case, the valuation would calculate a profit instead of a loss for the exchange rate difference. Since you are using the lowest value principle, no profit may be posted.

  4. Choose List ® Print.
  5. Enter the following data:
    6.

    Field

    Data

    Output device

    Your printer

    Print immediately

    Select

    Delete after output

    Select

    New spool request

    Do not select

  6. Choose Continue.

    7. The log is sent to your printer for printing.

  7. Choose until the overview tree appears.