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A/R and A/P open items revaluation (FSR40501)

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This routine is used to revalue open items in a foreign currency at a given rate, and create automatic G/L postings that reflect the revaluation. The revaluation affects only the G/L. It does not create any postings on the control account, neither does it have any impact on the actual open items in the A/P and A/R transaction files. This routine can be run either for the A/R or the A/P open items, depending on from which menu you selected this routine. Note: For revaluation of A/P open items preliminary invoices are also included.

The automatic postings are created via the following pseudo accounts:

  • A gain is posted via XRGxxxx.
  • A loss is posted via XRLxxxx.
  • The balance is posted via XRRxxxx for Accounts Receivable and XRPxxxx for Accounts Payable. The user defined part of these pseudo accounts, xxxx, is based on the transaction currency code. If the specific accounts are not found, the defaults XRG, XRL and XRR or XRP are used. If these are not found, XERROR is used.

In order to keep track of the last revaluation period per combination of:

  • Transaction currency
  • A/R or A/P group
  • A/R or A/P ledger
    This function is controlled by the Work with A/R or A/P last revaluation periods program, which holds the last revaluation period for each combination. Every time you revalue open items, the last revaluation period for each combination is updated. This is to ensure that open items are not revalued twice for the same period.

If the Balance period value in the selection is the same as or before the last revaluation period for any combination selected, the open items with this combination will not be updated. You can change the last revaluation period in the table, if you want to revalue the same open items again.

Automatically generated reports:

When the G/L postings are updated to the G/L, the following reports will be printed, under the following circumstances:

Selection

  • Debtor number or Supplier number
    If you make a selection here for an update, please note that you must maintain the Revaluation period table if you want to revalue for other debtors/suppliers with the same currency, A/R-A/P group and period, since the latest revaluation period is not kept on debtor/supplier level.
  • Customer number (A/R only)
    If you make a selection here for an update, please note that you must maintain the Revaluation period table if you want to revalue for other customers with the same currency, A/R group and period, since the latest revaluation period is not kept on customer level.
  • Transaction currency
  • A/R or A/P group
Balance period
The system will propose the actual period up to which open items should be selected, which will also be the accounting period of the created G/L postings. If the Balance period value is the same as or before the last revaluation period for any combination selected, the open items with this combination will not be updated.
Invoices
Indicate if you want to include invoices in the revaluation. If YES, then documents with data type 1, 5 and 6 will be selected, i.e. invoices, redefinition documents and bill documents
Payments
Indicate if you want to include payments in the revaluation.

Specification

In the fields below you specify which exchange rates to use for the revaluation, and whether to revalue gains and/or losses.

Exchange rate period
The default period code (the code for YEAR, MONTH, WEEK, or DAY) is retrieved from the A/R or A/P control file. The period value in the second field must be entered manually.

Example:
If you want the period to be April 2012, then enter the code for MONTH in the first field and 1204 in the second.

Exchange rate level
The default level code (the code for HIGH, MEDIUM or LOW) is retrieved from the A/R or A/P control file.
Revalue gains
Indicate if you want to include gains in the revaluation. Note: If both Revalue gains and Revalue losses are NO, and there are exchange rates in error, then only an error report will be printed.
Revalue losses
Indicate if you want to include losses in the revaluation. Note: If both Revalue gains and Revalue losses are NO, and there are exchange rates in error, then only an error report will be printed.
Simulation
The default is YES, indicating that you do not want to update. Change to NO if you want an update instead.

You can run a simulation with printout of a control list to check the result of the selection and that all exchange rates exist. If you do not run a simulation, and if there are errors (missing exchange rates), the update will not be done. Instead, you will get an error list. If you want to update there must be no missing exchange rates.

To make sure that there are no missing exchange rates before you run a simulation or an update, set the Revalue gains and Revalue losses fields to NO. This way, you will only get an exchange rate error report.

Elimination/Period
The default is YES, indicating that an automatic elimination of the revaluation will be posted in the same journal. The default elimination period is the proposed balance period plus the number of relative elimination periods from the G/L control file.

If the balance period is a year end period, outside the normal periods, as defined in the G/L control file, the elimination period proposed will be the same as would have been proposed for the last normal period. The elimination period must be the same as or later than the balance period. Also, it may be in another year, but this will create an additional journal, since journals may only hold transactions within one year.

Voucher type
You only have to enter a voucher type if Simulation is NO. The voucher type must be valid for the REVO routine. The voucher type controls the voucher numbering of the G/L postings created, and the voucher number series must exist for the year of the balance period and the year of the elimination period.
Summary level
Indicate on which level you want the sum to be printed, e.g. per currency, or per currency and supplier level.

The following levels exist:

Level Totals
1 Currency
2 Currency and customer/supplier
3 Currency and customer/supplier and document