D.14 Monetary Balances and Balance Weighted Objects

Monetary Balances (or simply Balances at the detail table level) have a strong currency basis that is relatively obvious. Ending balances and average balances for Balance Sheet elements and expense and revenue balances are the most common examples.

In a multi-currency implementation, instrument-level monetary balances are inherently stored as “transacted” balances, that is, as balances stored in local currency. The monetary balances that you source from your general ledger system and which you store in the Management Ledger table will generally be 100% functional. However, you may wish to aggregate instrument-level balances to your Management Ledger table and to store them there in their local currency amounts and/or generate non-functional balances in your Management Ledger table.

Balance Weighted Objects include elements such as weighted average Transfer Rate (Financial Element 140) at first glance appears to have a statistical nature but have a direct relationship to underlying monetary balances and therefore have the same strong currency basis as Monetary Balances.

More commonly, you will write your allocation rules that debit or credit the Management Ledger table using the 001 – Functional Currency macro or using the ISO Currency Code that represents your Functional Currency (these are equivalent definitions).