Unrealized Foreing Exchange Gains

Hi gurus,
I have one question on foreign exchange gains/losses. I have 2 GR with the same price, when the invoice is post for the first one the material price is higher so I have material price losses and unrealized foreign exchange losses but in the second invoice posting the price is lower, I have a material price gains but I don´t have an unrealized foreing exchange gains.
Why isn´t unrealized gains reconize??
The country is UK
Example:
Exchange Rate in PO isn´t fix
Material price control: Standard
Document 1: Material price is higher in the invoice that GR, we post price losses and unrealized foreign exchange losses:
GR:      Component Material 620,392.52 USD (381,592.15 GBP)
     Clearing 618,179.28 USD (380,230.83 GBP)
     Materials - Purchase Price Gains 2,213.24 USD (1,361.32 GBP)
     Stock Material Purchases 620,392.52 USD (381,592.15 GBP)
     Stock Material Purchases Offset 620,392.52 USD (381,592.15 GBP)
Invoice: Customer 1,751,018.05 USD (1,082,278.29 GBP)
     Clearing 618,179.28 USD (380,230.83 GBP)
     Materials Purchase Price Losses 1,132,838.77 USD (700,190.84 GBP)
     Unrealised Foreign Exchange Losses 0 USD (1,856.62 GBP)
Document 2: Material price is lower in the invoice that GR, we post price gains but I don´t have unrealized Gains. Why??
GR:     Component Material 620,392.52 USD (381,592.15 GBP)
     Clearing 618,179.28 USD (380,230.83 GBP)
     Materials - Purchase Price Gains 2,213.24 USD (1,361.32 GBP)
     Stock Material Purchases 620,392.52 USD (381,592.15 GBP)
     Stock Material Purchases Offset 620,392.52 USD (381,592.15 GBP)
Invoice: Customer 380,662.60 USD (235,281.91 GBP)
     Clearing 618,179.28 USD (380,230.83 GBP)
     Materials - Purchase Price Gains 237,516.68 USD (144,948.92 GBP)
Thank you in advance,
Marta

Hi Marta,
Please check the account determination configuration related to this. Transaction code OBA1.
Warm regards,
Murukan Arunachalam

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Foreign exchange gain and loss

Short Text
Foreign Exch Gain / Loss to be booked to a diffr cost center
Long Text
The transaction booked with the following parameters
Step 1:-Transaction booked trough FB60
Foreign currency CHF @ 40/ruppee
Expenses debited (1000-cost center)
Vendor Credited
Step 2:-Transaction paid through F-53
Foreign currency CHF @ 50/ruppee paid
Vendor Debited (Clearing the open item)
Bank outgoing account Credited
Foriegn exchange gain and loss Debited
In ECC 6.00 Version:- The open item clearing inherits the CO objects
from step one except for "Foreign exchange agin and loss line item"
Note:
1) In above scnerio, if foreign exchange gain and loss booked to some
other cost center other than Step one:- Cost Center (Expenses booked).
2) If the foreign exchange gain and loss line item booked to same cost
center as specified in Step one:- Cost Center (Expenses booked).The
below error does not occur.
3) The requirement is to book different cost center for the Foreign
exchange gain and loss line item.
The following error occurs during FB05 transaction execution for
transfering the line item in Bank outgoing account to Bank Main account.
Error Details occur during FB05 transaction execution:-
Start----
Ex.rate diff.accts are incomplete for account 0002500062 currency CHF
Message no. F5063
Diagnosis
The accounts for posting exchange rate differences could not be
determined. For the specified G/L account and the specified
currency
key, the accounts are only specified incompletely. Either the
accounts
for the implemented exchange rate difference, the accounts for the
valuation differences or the balance sheet adjustment account are
missing.
System Response
The system cannot generate the exchange rate difference posting.
Procedure
By pressing ENTER, you achieve that the document is reset to a
status
without automatic posting. In another window, you can complete
default
settings for exchange rate differences and post the document
afterwards.
END----
Configuration already in place:-
1) Bank outgoing and main account "ONLY BALANCE IN LOCAL CURRENCY" is a
ticked
2) In OBA1 Foreign exchange gain and loss and valuation gain and loss
GL's are defined for respective Reconciliation account.
Regards,
Sathya

Hi,
Is your problem solved, I am also facing the same issue when transffering from Incoming/Outgoing to Main Bank Account. Exchange gain/loss is being calculated by the system.
Please share with me the solution to the above problem.
Thanks & Regards,
Jyoti

Foreign Currency exchange gain & loss

Dear expert,
I have a problem here, need help.
I have made the setting for foreign exchange gain/loss in OB09 and start to use f-28 for incoming payment.
When run the simulation, it gives me 2 lines of exchange gain/loss calculation. 1st line with amount zero (local currency) and 2nd line with the gain/loss amount.
I wonder why I have 2 lines of exchange gain/loss calculation?
Did I did something wrong or miss some specific setting?
Thanks in advance. will assign points

Hi Louis,
Please note the example below and you will understand why two line items are created:
Local currency - USD; foreign currency - GBP
Vendor invoice in foreign currency - 100GBP - Jan (Exchange rate: I GBP=2 USD)
Feb - You valuated the open item (Exchange rate: 1 GBP = 3 USD) with update principle
Entry: Unrealised exchange rate Debit 100 USD
          To Special balance sheet account Credit 100 USD
Payment made in march where the exchange rate is 1 GBP = 3.5 USD
Entry will be:
Vendor debit                               200 USD
Balance sheet account debit        100 USD
Realised exchange rate loss debit 50 USD
To bank                                       350 USD
Are you getting the above entry? If so, then the above scenario will explain your predicament.
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Our project is stuck with an issue which from the onset a simple issue.
Issue being the AP balances show excess of Realised exchange gain/loss postings.The Realised Exchange gain/loss postings are in USD (i.e. Local Currency).
This creates an issue in clearing when the invoices do not match the balances and the automatic clearing is not possible.
Although reports (income statement and Balance Sheet) give matching results, but AP on the individual level (vendor wise) poses such a problem.
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I have a customer that have this requirement. They wanted the exchange gain/loss account generated by Incoming payment or Outgoing payment to be auto assign with profit center if it is defined at the payment screen.
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Thanks for the reply. However, we can't assigned the distribution rule at Chart of account as the incoming or outgoing payment may involve different division each time thus the exchange gain/loss account should be assign to respective division. Thanks.
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Foreign Exchange Gain and Loss generated in 1 document...by SAP.

I found a strange line item(Foreign Exchange loss line) after automatic clearing.
No.1: AP document
AP document       Doc.Curr:USD    LCurr:CNY   Lcurr2:JPY        Lcurr3:USD
Dr:AP                    3000                 -19500         -270270           -3000
Dr:Materil-1           1000                 6500            90090              1000
Cr:Materil-2           2000                13000          180180             2000
No.2: Outgoing payment
Outgoing Payment Doc.Curr:USD    LCurr:CNY   Lcurr2:JPY        Lcurr3:USD
Dr:AP                      3000                  19200           230784            3000
Cr:Bank                 -3000                 -19200          -230784           -3000
No.3:Automatical Clearing
Auto. Clearing         Doc.Curr:USD    LCurr:CNY   Lcurr2:JPY        Lcurr3:USD
Dr:AP                      0                         300               39486             0
Dr:Exchange Loss 0                        120               1443               0       <----
why this line generated?
Cr:Exchange Gain 0                        -280               -27286            0
Cr:Exchange Gain 0                        -140              -13643             0
Because the rate is different between AP document and Payment document.(No.1 and No.2)
I thought it should only have foreign Exchange gain, but after I did automatical clearing(t-code F.13)
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Who know the reason?
Thanks a lot.

Hi
As per the Accounting the entry is right
Dr:AP 0 300 39486 0
Dr:Exchange Loss 0 120 1443 0
Cr:Exchange Gain 0 -280 -27286 0
Cr:Exchange Gain 0 -140 -13643 0
But actual entry should come like this
Dr:AP 0 300 39486 0
Cr:Exchange Gain 0 -200 -27286 0
Cr:Exchange Gain 0 -100 -13643 0
We need to verify why 200 has come as 280 and 100 has come as 140
Can you verify the date which you have done outgoing payment and date which you have done clearing?
may be different dates with different foriegn currency rate
Reg
Vishnu

Wrong CO object assign. on account for exchange gains/loss

Hi!
When running outgoing payments in transaction f110 realized exchange
gains/losses sometimes exists (account 796200). These gains/losses
should always be assigned to cost center 11100. Therefore, we have made
an default account assignment on this both in OKB9 and on the current
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Thanks for your answer!
Nope, I don't have to separate cost elements, one for gain and one for losses, because the customer wanted to use the same account (and cost element). Therefore, I used cost element category 1 on the cost element so that credit postings (in this case: gains) can be posted to the cost center. I donät think that's the problem.
Nope, current account is not assigned in KDB and KDF but that cannot be the problem either, since the system find the right account/cost element. There must be something else that is the problem!
Edited by: asafo364 on Aug 24, 2009 3:42 PM

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hi,
in OBA1 settings please enter main bank account insteed of exchange gain or loss accounts. then that difference it will post to mail account only insteed of exchange gain or loss account.
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Foreign Exchange Gain Loss not getting booked

ECC 6.0
Configured
A. OB59 - BSK,EVR,KT0
B. FS00 - 5800000 Foreign Exchange maintained in Local Currency, Automatic Posting is Ticked
C. FBKP - KDF Linked to 5800000 for Vendor Reconciliation Account
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Regards

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In OBA1 -
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Venkat

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-Nandita

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