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Question from a_godfrey on Sep 6 at 1:51 PM Hello fellow members,
Rather than asking a question, I thought I would share something that SAP has fixed which has long been a problem to some of my clients.
In cost center accounting many corporations perform allocations across country boundaries and across company code. Currently standard SAP allocations are performed in controlling area currency and for those cost centers not in controlling area currency the allocation is converted at the M rate to the object currency. This will mean the possibility of costs not clearing to zero in the object currency of a sender whose object currency is not the same as the controlling area currency. This has always been a problem for many companies.
SAP have finally supplied a solution in enhancement pack 5 (I have not looked to see if the code changes can be entered without the enhancement pack being loaded). My current client is upgrading to enhancement pack 5 and I have just tested this.
If the sender object currency is not the same as the controlling area currency.
1. If the receiver is the same currency as the sender, the receiver will be assigned same proportion?of the object currency as the controlling area currency. This effectively means that the exchange rate used is the average exchange rate of all postings in the object currency.
2. If the receiver is the same currency as the controlling area, the receiver will receive the proportion?of the controlling area currency calculation. This effectively means that the exchange rate used is the same as the average exchange rate for the postings to the cost center in the month.
3. For a cost center whose currency is not the same as the sender or the controlling area - I have not tested but I assume this will be the controlling area currency amount allocated at the M rate for the period (as before the change).
The change will mean that the sending cost center will always clear to zero both in controlling area currency and in object currency.
The change can also mean that the receivers in the same currency as the sender could receive a slightly different amount in object currency than before the change due to exchange rate differences.
The small configuration change after enhancement pack 5 is loaded is included on SAP note 1449168
I hope this is of use to some of you.
Allan Godfrey
>A.P. Godfrey Consulting Inc.
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