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 Conversion to the Euro

Purpose

For the conversion to the euro, all condition amounts where the currency participates in the euro are converted. To do so, the system uses the fixed exchange rate for the conversion package. After the conversion, all condition amounts only exist in euro. The following activities or objects are directly or indirectly affected:

  • Conditions and debit position for lease-outs, rental unit, management contracts

  • Data on input tax treatment

  • Service charge settlement

  • Reporting

  • Correspondence

  • Customizing

    Note Note

    The conversion of currency amounts in the land register is not planned since the system entries and the official entries of the land registries have to be comparable.

    End of the note.

Process Flow

1. Preparation phase before01/01/1999

  • If, during the dual currency phase, conversion to another currency (for instance euro) is required, then you have to adjust the correspondence forms yourself.

    You should be aware that the amounts in the other currency cannot be determined from database tables but have to be calculated. This may result in rounding differences between currency amounts in previous correspondence containing the same values.

    Note Note

    After conversion of the local currency into euro, standard letters will be available to inform the tenant of the rent amount in euro.

    End of the note.

  • Reporting is set in such a way as to allow you to display reports in two currencies.

    In this case, you have to adjust any reports that you have created yourself.

    Caution Caution

    Be aware that the reports access converted data. This means that reports in the “old” currency are created after the conversion by converting the euro values. Consequently, there may be deviations between the values in reports converted back to the “old” currency and those of archived reports (reports created and archived before the changeover to the euro) on account of rounding differences.

    End of the caution.
2. Activities per01/01/1999
Dual currency phase before local currency changeover

You may perform the following activities with the euro in RE during the dual currency phase:

  • Post incoming payments in euro transaction currency or in local currency

  • Switch between euro transaction currency and local currency for RE posting logs

  • Display the analyses of RE reporting in euro transaction currency or in local currency

  • Convert the current local currency at any particular time to another currency maintained in SAP system, for instance the euro, for the correspondence function

    Thus you may create printouts in which you list the original amounts and the converted amounts parallel to each other or separately in the correspondence.

    These enhancements apply to the complete standard correspondence.

    Note Note

    The converted amounts are not saved but are temporarily used for printing correspondence.

    End of the note.

    Caution Caution

    After the local currency changeover to euro, there may be minimal deviations between the amounts calculated before the conversion and the euro amounts used in the correspondence on account of rounding differences.

    End of the caution.
Local currency changeover (=conversion to the euro)

The actual conversion to the euro will be carried out centrally for all SAP components.

After conversion, the euro will be used as the local currency.

All subsequent processes will be carried out in euro.

The euro changeover procedure for RE and other SAP components is centrally documented in European Monetary Union: Euro (CA-EUR) .