Material Receipts Gain/Loss Revaluation is the process used to obtain the revaluation of the accounts corresponding to receipts that have not been wholly invoiced, as indicated by OG 3055 of 2009, applicable starting with 01.01.2010. The functionality has become available starting with version 2.1. The process only considers those receipts that have originated from purchase orders with source values in a foreign currency (different from the company's principal one) and that have not been completely invoiced by the time of the revaluation. By invoicing, we imply that there are receipt-invoice matchings.
This process treats the situations described above separately, therefore we recommend you not to include these accounts in the accounting revaluation.
A completed revaluation will keep its log at Receipt Line level, in the Reevaluation tab. This way, the process will produce its effects in time (i.e. the new receipt-invoice matchings following the revaluation will be calculated as compared to the values of the last revaluation). A new revaluation will also take into account the last revaluation.
The revaluation process automatically generates a GL journal in the Drafted status, containing the calculated exchange rate differences. This GL journal can be used for inspection, completion and posting purposes. Voiding such a GL journal will automatically erase the effects of the source revaluation!!
It is mandatory for both the documents and the revaluation process to be entered in an ascending chronological order. The limitation is given by the fact that if, after completing a revaluation process, further receipt-invoice matchings will be operated for the revaluation period, these will not be correctly posted from the point of view of the accounting amounts so that the revaluation itself is no longer correct.
For a correct computation, the following conditions need to be met:
The receipts need to be Completed or Closed;
The receipts need to be generated from purchase orders and all the corresponding PO-Receipt matchings need to exist;
The receipts need to be associated with invoices and the corresponding Receipt-Invocie matchings need to exist (in the case of partial invoicing);
All the numbered documents need to be posted.
The process will only consider those quantities on the receipts that on the revaluation date (i.e. process entry date) are:
wholly non-invoiced;
partially invoiced;
originating from purchase orders with a price list in a currency different than the one on the principal accounting schema- for those who have not been invoiced at all.
In order to start the process, you need the following entry data:
Organization - optional, if left empty the computation will be done for all the organizations. You can also select an organization node;
Period - according to the defined calendar, the revaluation will result in the last day of the month contained by the selected period;
Revaluation Conversion Type - fill in to indicate the conversion type that will be taken into account;
Currency - fill in to indicate whether you you want to run the process for a single currency or for all of them;
Revaluation Document Type - fill in to indicate the resulting GL journal type; if left empty, then only the revaluation report will be obtained and not the revaluation itself.
Reporting Hierarchy - used if you have selected an organization node in order to determine the organizations that are part of the node.
The resulting report contains the following information:
the date of the re-evaluated receipt;
the organisation that the computation is done for;
the business partner on the receipt;
the product on the receipt;
the price in the foreign currency, from the associated purchase order;
the amount in the foreign currency;
the historical conversion rate that can originate from the:
Purchase Order or
last revaluation that the corresponding receipt has gone through.
the conversion rate used for the revaluation, according to the revaluation conversion type indicated for the process;
the price in the principal currency
amount in the principal currency;
re-evaluated amount in the principal currency;
revaluation difference;
initial quantity on the receipt;
the quantity (non-invoiced) due to be re-evaluated.
The GL Journal will only be obtained if it was indicated at the start of the process.
The resulting GL Journal will be on the principal accounting schema (RON), on the date indicated in the process's running parameters and broken down on each organization from the line.
If you erase the GL Journal (Drafted), then the revaluations will also automatically be erased (those saved at Receipt Line level);
If you void the GL Journal (Completed), then the revaluations will also automatically be voided (those saved at Receipt Line level);
If you reverse the GL Journal (Completed), irrespective of the reversing type used, then the revaluations will not be affected! (based on the fact the reversal is done on a different account date, so that you can no longer change the history; in this case, you will manually decide how to intervene only at subsequent accounting level +/-).
Up to version 13.12, the posting rules have been:
For the credit accounts:
a1. if the difference is positive, then it is unfavourable and the posting will be of the form:
Debit account = 665 "Realized Loss Acct"
Credit account = the re-evaluated account;
a2. if the difference is negative, then it is favourable and the posting will be of the form:
Debit account = the re-evaluated account,
Credit account = 765 "Realized Gain Acct",
with the difference in absolute value!
Starting with version 13.12, the accounts used to post the GL journal are those entered in the Unrealized Gain Acct and Unrealized Loss Acct fields, found in the General section of the Accounting Schema window, the Defaults tab.
Other consequences of Material Receipts Revaluation
posting the Receipt-Invoice Matchings depends on the last revaluation of the corresponding Receipt. This way, the price differences between the Invoice and the Receipt will be:
calculated as compared to the Receipt if this has not undergone any revaluation processes;
calculated as compared to the last revaluation that the corresponding receipt has undergone, at product level.
Report Material Receipt not Invoiced
Starting with version 14.03, the system provides a revaluation report, independent from the one described above, that, for a certain date (which can also be a historic one), presents all the material receipts which have no corresponding invoice at the report date.
The report displays the following information:
the receipt and its corresponding identification data;
the received quantity;
the quantity not invoiced at the report date - only those receipts with quantities not invoiced at the respective date will be displayed;
the price and the amount in a foreign currency - determined from the order used to generate the material receipt - and only for currencies different from the one on the main accounting schema;
the price and the amount in the main currency - determined as such:
according to the currency on the purchase order used to generate the material receipt;
at the exchange rate from the receipt date - if the material receipt has yet to undergo the revaluation process;
at the exchange rate of the last revaluation previous to the report date - for all the receipts that have already gone through a revaluation.