Exchange Rate Indicator (SAP ƒ‰ƒCƒuƒ‰ƒŠ

Exchange Rate Indicator

Definition

Classification of exchange rates

Examples:

Spot exchange rate
Average rate
Historical rate

Structure

The following relationship exists between exchange rate indicator, exchange rate type, and exchange rate.

An exchange rate type consists of a 3 character rate version and a 1 character exchange rate indicator.
You save exchange rates in the system using an exchange rate type. This enables the entry of various exchange rates for a currency pair, so conversions can be made for various purposes.

The SAP Standard System includes exchange rate types. To define exchange rate types, in Financial Accounting Customizing choose Special Purpose Ledger ® Periodic Processing ® Currency Translation ® Set Up Exchange Rate Types.

Use

The exchange rate indicator is relevant in the following cases during currency translation:

Reference exchange rate indicator

For the reference translation, you have to specify an exchange rate indicator. All accounts with this exchange rate indicator are translated.

You can also enter reference exchange rate indicator *. The exchange rate difference is determined by comparing the group currency values that are already contained on the database.

Translation method

You have to enter an exchange rate indicator when defining a translation method. From this entry, the system determines the exchange rate version and the translation rate for the currency translation. This allows you to use various translation rates in various versions for testing purposes.