Inflation Adjustment of G/L Accounts
You use this program to adjust G/L accounts for inflation. It calculates the inflation adjustment required for each account and makes the appropriate adjustment postings.
If you are using this program for the first time, you may have to run theChanging of Last Adjustment Dates program.
To access the program, from the SAP Easy Access screen, choose Accounting → Financial Accounting → General Ledger → Periodic Processing → Closing → Valuate → Inflation Adjustment of G/L Accounts.
On the selection screen, you specify:
The following are handled differently:
Normally, only line items in local currency are adjusted; those in foreign currency are left to be valuated using the standard program (seeValuation of Open Items in Foreign Currencies). However, it is possible valuate open items in foreign currency using this program, if you select the indicator on the selection screen. However, with this program, you can only use one valuation method. With the other, you have a range of methods.
If you adjust the open items in foreign currency, the inflation adjustment amount is split as when you adjust balances in foreign currency.
When you adjust your G/L accounts for inflation, there are several instances in which you might want to make a compound posting. The system supports these as follows:
Depending on your Customizing settings, the inflation expense or revenue is split between the specific inflation gain or loss and the general inflation gain or loss. However, if you do not want the amount to be split, it does not have to be.
Here the expense or revenue is split between the exchange rate gain or loss and general inflation gain or loss.
Here, the inflation expense or revenue is split between the interest earned and general inflation gain or loss.
Even if your company code works with parallel currencies, the inflation adjustments are only made in the local currency.
As with all programs, we recommend that you execute it in test mode until you are sure that the results are correct. For these purposes, the program allows you tocross-check the balances of your monetary and nonmonetary accounts.
Once you have run the program, you process the batch input session. The system then: