Euro Exchange Rate Revaluation
For each currency code set as Part of Euro, you must run this utility to revalue the outstanding asset and liability transactions using the national currency-to-Euro exchange rate.
This utility updates the exchange rate in the following types of transactions:
- A/P and A/R transactions
- Customer orders
- Purchase orders
- Vouchers payable
- RMAs
The system updates each transaction's exchange rate, places the new rate in the transaction's exchange rate field, and uses it for all Translate to Domestic calculations.
The utility produces a report that lists the new exchange rates for all the affected order numbers and customer/vendor numbers.
In addition to running this utility, you must run the standard Currency Revaluation Report for all Part of Euro currency codes, and you must run the standard Bank Account Revaluation Utility for all bank codes that use a Part of Euro currency.
When to run this utility
If your company is situated in a Euro-participating country, Euro regulations require you to revalue asset and liability transactions using this exchange rate. If you are not situated in a Euro-participating country, this revaluation is optional.
During an interim period of transitioning a national currency to the Euro, Euro regulations prohibit direct currency conversions between Euro-participating countries. Therefore, to convert a monetary amount from one national currency to another, the system performs all conversions between Part of Euro currencies using the Triangulation conversion method. This conversion method may affect the value of asset and liability transactions in your system.
The domestic-to-foreign exchange rate from the time the transaction was created is contained within the transaction record. As of 1/1/1999, the exchange rate between Euro-participating currencies and the Euro currency has been fixed. Therefore, for each currency code set as Part of Euro, you must run this utility to revalue the outstanding asset and liability transactions using the fixed exchange rate.