SAP Knowledge Base Article - Preview

3604388 - IFRS15/ASC 606 - Revenue to be Realized Not as Expected for Sales Order Item in Foreign Currency

Symptom

  • The Revenue Accounting Contract functionality (IFRS15& ASC 606) is active for your company's set of books. 
  • Fix-price sales order item ABC-AA is created in foreign currency FC. A POC based accrual method, such as 102-Recognize using Cost-to-Cost POC or 108-Recognize using cost-to-cost project POC, is assigned to the item (ABC-AA represents the sales order item ID). 
  • Costs are incurred for the item and a POC is calculated.
  • The revenue recognition run calculates a  total, realized revenue amount, based on the calculated POC, which seems not to correctly calculate the value according to the exchange rate, valid on the posting date of the revenue recognition run.


Read more...

Environment

SAP Business ByDesign

Keywords

Revenue Recognition, Sales Order, Currency, Exchange Rate, POC, Allocated Amount, Net Value, Total recognized revenue , KBA , SRD-FIN-COR , Cost & Revenue , Problem

About this page

This is a preview of a SAP Knowledge Base Article. Click more to access the full version on SAP for Me (Login required).

Search for additional results

Visit SAP Support Portal's SAP Notes and KBA Search.