SAP ABAP IMG Activity SIMG_CFMENUORFCGC31 (Define methods)
Hierarchy
☛ BBPCRM (Software Component) BBPCRM
   ⤷ CRM (Application Component) Customer Relationship Management
     ⤷ CRM_APPLICATION (Package) All CRM Components Without Special Structure Packages
       ⤷ FK (Package) FI-LC Consolidation
IMG Activity
ID SIMG_CFMENUORFCGC31 Define methods  
Transaction Code S_ALR_87002541   IMG Activity: SIMG_CFMENUORFCGC31 
Created on 19981222    
Customizing Attributes SIMG_CFMENUORFCGC31   Define methods 
Customizing Activity SIMG_CFMENUORFCGC31   Define methods 
Document
Document Class SIMG   Hypertext: Object Class - Class to which a document belongs.
Document Name SIMG_CFMENUORFCGC31    

In this step, you define the currency translation method(s) used in your group.

A currency translation method is a collection of several method entries. There are two types of method entry:

  • Translation entries for translating balance sheet and income statement items
  • Rounding entries for determining rounding differences

Standard settings

Various translation methods are pre-defined in the standard system.

Activities

  1. Decide which balance sheet and income statement item intervals should be translated differently.
  2. Start with a translation entry by selecting or creating an item set.
  3. Specify which currency translation key and exchange rate indicator are to be used when translating the item set.
  4. For each translation entry, specify to which difference items the currency differences are to be posted.
  5. For each translation entry, specify which transaction types - if any - should be used for posting the translation differences.
  6. Establish where rounding differences could occur:
    • Balance sheet depreciation not equal to income statement depreciation
    • Balance sheet (e.g. assets not equal to liabilities)
    • Income statement (e.g. retained earnings not equal to the sum of annual net income and appropriation of net income)

      Within the rounding entries, define item sets for determining rounding differences. Note that the system checks the local rounding ranges before the global rounding ranges. The order of the rounding entries determines the validation sequence.

  7. Determine to which FS items any rounding differences are to be posted. These items must be contained in one of the item sets for determining the rounding differences.
  8. For each rounding entry, determine which transaction types - if any - are to be used for posting the rounding differences.
  9. Check your entries after you have defined them.
  10. Check the entire translation method once you have defined it. If there are no errors, the system changes the status of the translation method to 'active'.
  11. Specify for each method whether you want the system to record journal entries. If you do, assign a document type specially defined for currency translation.
  12. Define as many methods as are needed for the various translations of the companies.

Further notes

  • Define item sets in this IMG step. Do NOT use the general set maintenance.
  • If you want to translate fixed assets at an histotical exchange rate, you must enter the financial statement items according to year of acquisition.
  • Use multiple translation entries if you want to translate fixed assets at current exchange rates and report the resulting translation differences.
  • If you want to translate investment and equity book values historically, you can use changes in investments and changes in investee equity data from the consolidation of investments function.
  • You can print out the methods and show the corresponding item sets in the Consolidation menu under Info system -> Control parameters -> Translation methods.

Business Attributes
ASAP Roadmap ID 204   Establish Functions and Processes 
Mandatory / Optional 2   Optional activity 
Critical / Non-Critical 1   Critical 
Country-Dependency A   Valid for all countries 
Assigned Application Components
Documentation Object Class Documentation Object Name Current line number Application Component Application Component Name
SIMG SIMG_CFMENUORFCGC31 0 HLA0001238 Currency Translation 
Maintenance Objects
Maintenance object type C   Customizing Object 
Assigned objects
Customizing Object Object Type Transaction Code Sub-object Do not Summarize Skip Subset Dialog Box Description for multiple selections
GC31 T - Individual transaction object GC31 9999999999 FI-LC: Customize Currency Translation 
History
Last changed by/on SAP  19981222 
SAP Release Created in