Oracle Cloud offers a broad portfolio of software as a service applications, platform as a service, and social capabilities, all on a subscription basis. Oracle Cloud delivers instant value and productivity for end users, administrators, and developers alike through functionally rich, integrated, secure, enterprise cloud services.
 Get a Free Magzine ...Profit:The Executive's Guide to Oracle Applications

Subscribe to the OracleAppsHub to receive notifications when there are new posts:

 get RSS feed
 Oracle Fusion Applications (OFA) is a portfolio of next generation suite of software applications from Oracle Corporation. It is distributed across various product families; including financial management, human capital management, customer relationship management, supply chain management, procurement, governance, and project portfolio management
 Get a Free Magzine ...Profit:The Executive's Guide to Oracle Applications

No items, feed is empty.

Dealing with Foreign Currency : “Conversion”

Posted on December 18th, 2007 by Sanjit Anand |Print This Post Print This Post |Email This Post Email This Post

Have you tried OracleappsHub in ipad/iphone/smart Phone? Don't wait. try it today

This refers to foreign currency transactions that are immediately converted at the time of entry to the functional currency of the Set of Books in which the Transaction takes place.

Conversion uses a daily rate that is either supplied by the user or pulled from the Daily Rates Table at the time the transaction is entered.

The Rate Type is simply a label to identify the kind of rate used in a transaction.

In EBS suite, “User” rate Type is reserved, whereas other rate type like "Corporate" and "Spot" used for the seeded data in GL currency table.

When such a transaction is posted, a separate balance is kept in the GL_BALANCES table of all accounts entered in a foreign currency and their equivalent balance in the functional currency.

When you see the information in GL_BALANCES table, which keeps a cumulative balance for the foreign and the functional balance in an account; the rate information is missing. The rate information and the transaction-by-transaction detail is kept in the GL_JE_LINES table. GL_BALANCES only keeps the total amount entered for a particular account in a particular currency and the total functional amount for those foreign transactions. This allows for the segregation of portions of an account balance by the different currencies used in each transaction.

Finally lets compare all three

This table has compares the three Foreign Currency concepts:

JE creation

Related Posts in series for “Dealing with Foreign Currency”

Related Posts

Posted in EBS Suite, Functional, Oracle General Ledger | 1 Comment »Email This Post Email This Post | Print This Post Print This Post

Have you tried OracleappsHub in ipad/iphone/smart Phone? Don't wait. try it today
One Response
  1. Dealing with Foreign Currency Says:

    […] Dealing with Foreign Currency : “Conversion” […]

Leave a Comment

Please note: Comment moderation is enabled and may delay your comment. There is no need to resubmit your comment.