Previous	Next		Contents	Index	Navigation	Glossary	Library

When you run revaluation, General Ledger creates a revaluation batch containing a separate journal entry for each revalued foreign currency. Note that General Ledger creates the revaluation adjustments in your functional currency. General Ledger automatically defines the reversal period as the next accounting period.

When you revalue balances in an average balance set of books, General Ledger only revalues standard balances. When you post the revaluation journal entries to update your standard balances, the system will recompute your average balances automatically.

Additional Information: If you use Multiple Reporting Currencies, you must run revaluation in your primary set of books and in each of your reporting sets of books.

Prerequisites

   Define an unrealized gain/loss account.

   Define a revaluation rate for each currency for each period for which you want to run revaluation.

   To revalue your account balances:

1. Navigate to the Revalue Balances window.

Note: As you complete the remaining steps, note that the Revalue Balances window may display various warning messages, depending on the selections you make, especially if either the currency you are revaluing or your functional currency has a currency derivation of Euro, EMU, or Interim EMU (see: Currency Derivations). If you receive a warning, review your entries carefully to make sure they are correct.

2. Enter the accounting Period for the balances you want to revalue.

3. If you have average balance processing enabled, enter an Effective Date for the revaluation journal entries that General Ledger will create. If you do not enter an effective date, General Ledger will use the nearest business day in the Period you chose.

Additional Information: If you enter an invalid effective date, based on the Effective Date Rules you've defined for your Revaluation journal source, General Ledger will automatically adjust the effective date to one that is valid. See: Effective Date Validation.

4. Enter the Unrealized Gain/Loss Account to record net gains and losses from the revaluation. The default is the gain/loss account you entered for the previous revaluation.

5. Choose one of the following Currency Options:

Single Currency: to revalue a particular foreign currency.

EURO+EMU: to revalue all currencies whose currency derivation is Euro, EMU, and Interim EMU.

All Currencies: to revalue all foreign currencies.

6. If you choose to revalue a single currency, enter the Currency to use for the revaluation. If your set of book's functional currency has a currency derivation of Other, you can only enter a currency that also has a currency derivation of Other.

If you choose to revalue all currencies, General Ledger revalues each foreign currency balance only if a period-end rate exists for that currency and accounting period.

Note: You must define a period-end rate for your selected accounting period and currency before you can run revaluation.

7. If you choose to revalue a single currency, you may need to enter the Rate to use for the revaluation, depending on whether your set of book's functional currency has a currency derivation of Other, EURO, EMU, or Interim EMU:

Other: General Ledger automatically displays the revaluation rate you defined for this accounting period and currency. You can use this default rate, or enter a different Rate.

Euro, EMU, or Interim EMU: General Ledger automatically displays a different rate, depending on the currency derivation of the currency you choose to revalue:

• Euro, EMU, or Interim EMU: General Ledger displays the fixed conversion rate. You cannot change this rate.

• Other: General Ledger displays the revaluation rate for the period and currency. You can use this default rate, or enter a different Rate.

8. Enter an Account Low and High to revalue accounts that fall within that range. Repeat this step to enter multiple ranges.

9. Choose Revalue. General Ledger launches a concurrent process to revalue your account balances. The process names your revaluation batch in the following format: Revalues <Period Name> <Concurrent Request Date> <Concurrent Request Time>; for example, Revalues JAN-95 31-JAN-95 15:34:00.

See: Summary of Revaluation Program Action

10. Use the Revaluation Execution Report to review the status of your account revaluation. General Ledger automatically generates this report when you run revaluation.

11. Post the revaluation journal batch.

Note: If you use Multiple Reporting Currencies and post a revaluation batch in your primary set of books, General Ledger does not create a converted journal in your reporting sets of books as it does for other journals.

Summary of Revaluation Program Action

	Currency Derivation of Functional Currency
Currency Option	Other	Euro or EMU	Interim EMU
Single Currency	Revalues standard balances denominated in the selected currency for the selected period and range of accounts. Currencies revalued using the specified rate.	Revalues standard balances denominated in the selected currency for the selected period and range of accounts. Currencies whose currency derivation is Other are revalued using the rate for the currency and period. Currencies whose currency derivation is Euro, EMU, and Interim EMU are revalued using the fixed conversion rate.	Revalues standard balances denominated in the selected currency for the selected period and range of accounts. Currencies whose currency derivation is Other are revalued using the rate for the currency and period. Currencies whose currency derivation is Euro, EMU, and Interim EMU are revalued using the fixed conversion rate.
EURO+EMU	Revalues standard balances denominated in a currency whose currency derivation is Euro, EMU, or Interim EMU, for the selected period and range of accounts. Currencies are revalued using the rate for the currency and period.	Revalues standard balances denominated in a currency whose currency derivation is Euro, EMU, or Interim EMU, for the selected period and range of accounts. Currencies revalued using the fixed conversion rate.	Revalues standard balances denominated in a currency whose currency derivation is Euro, EMU, or Interim EMU, for the selected period and range of accounts. Currencies revalued using the fixed conversion rate.
All Currencies	Revalues all standard balances denominated in a currency other than your functional currency, for the selected period and range of accounts. Currencies are revalued using the rate for the currency and period.	Revalues all standard balances denominated in a currency whose currency derivation is not Euro or EMU, for the selected period and range of accounts. Currencies whose currency derivation is Other are revalued using the rate for the currency and period. Currencies whose currency derivation is Euro or EMU are not revalued. Currencies whose currency derivation is Interim EMU are revalued using the fixed conversion rate.	Revalues all standard balances denominated in a currency other than your functional currency, for the selected period and range of accounts. Currencies are revalued using the rate for the currency and period.
Table 1 - 27. (Page 1 of 1) Summary of Revaluation Program Action

See Also

Posting Journal Batches

Overview of Multi-Currency Accounting

Overview of Average Balance Processing

Multiple Reporting Currencies Overview