1920513 - Exchange Rate Postings after Bank Statement Processing for Assigned Payments

An invoice in foreign currency has been cleared against a self-initiated payment and exchange rate differences have been recognized. Subsequently a bank statement confirming this payment is processed and exchange rate differences are realized again. You are unsure about the nature and the calculation of the posted exchange rate differences.

SAP Business ByDesign

The exchange rate posting is caused by the posting of the payment allocation resulting from the bank statement upload. The allocation type is Payment Assignment. You can access relevant payment allocation either in:

1. Payment Management work center.
2. Navigate to the Payment Allocations view.
3. Select the relevant Payment Allocation.

 
- or via the posted bank statement.

1. Go to the Liquidity Management work center.
2. Open the Bank Statements view.
3. Navigate to the relevant bank statement and Edit.
4. Follow the link Postprocessing required to access the relevant payment allocation.

You can access the resulting journal entry in the field Journal Entry ID. Here either an exchange rate loss or exchange rate gain is recognized against the G/L bank account.

The posting can be explained by the interplay of applied, differing exchange rates, bank account in foreign currency, invoice in foreign currency and clearing of foreign currency transactions in company currency.

Paying such an invoice with an applied differing exchange rate leads to the recognition of either an exchange rate loss or exchange rate gain. When subsequently this transaction is confirmed in a bank statement, further exchange rate loss/gain is realized in case the exchange rate has altered. The exchange rate difference previously posted is taken into consideration.

The exchange rate applied at a certain time can be derived from the Exchange Rate History found in the General Ledger work center under Common Tasks / Edit Exchange Rates.

Example:

The company currency is Canadian Dollar (CAD). After a bank statement upload 100 CAD are posted as exchange rate loss.

• Supplier invoice XYZ over 1.000 USD is posted effective 01.06.2013. The exchange rate CAD/USD is 1,0. 

• On 01.07.2013 invoice XYZ is cleared with an outgoing check payment over 1.000 USD The exchange rate CAD/USD is 1,2. Consequently an exchange rate loss of 200 CAD is realized in clearing ABC. 

• The bank statement containing the 1.000 USD check payment is confirmed with a statement date 15.07.2013. The exchange rate CAD/USD is 1,3. This corresponds with a payment of 1.300 CAD in company currency for a supplier invoice over 1.000 CAD in company currency.
  Since 200 CAD exchange rate loss have already been realized in clearing ABC, the remaining 100 CAD are recognized in in the payment allocation of type Payment Assignment against the G/L bank account representing the USD bank account.

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