GR reversal

[Former Member]

Hi experts,

I got one stock code PO with foreign currency. User performed GR and the posting debit Store and credit GRIR.

Few days later, when user try to reverse the GR, the posting hit Store, GRIR and Price Different account.

Any idea why the GR reversal will hit Price Different account?

My understanding is that during GR, system will use the PO exchange rate to do the conversion and during GR reversal, it should use back the same PO exchange rate to reverse. Therefore, they will not be a price different in this case. (PO Exchange Rate Fixed is not ticked)

Please clear my doubt and correct me if my understanding is wrong in the first place.

Thanks and regards,

JT

[former_member187989 · Accepted solution]

Pl refer SAP Note 518114 - FAQ: Goods movements in foreign currency

[Former Member · Accepted solution]

Hi Jeya,

Thanks for your reply. I've referred to note 518114.

But in my system, I performed a GR and reverse it with the same posting date and document date, why it will hit Price Difference Account? I believe both transaction will be using the same exchange rate.

Can you explain further?

Thanks and regards,

JT

[former_member187989 · Accepted solution]

If there is any price revision in purchase order it will conisder price while reversal

or

It will take exchange rate of GR reversal posting date

[Former Member]

Hi all,

I've read all the relevant note that I could find but none of it explain the situation I'm facing right now.

The material is Moving Average Price and there is only GR performed so far. This material is newly created and the GR performed is the first and only GR.

Both GR(101) and reversal (102) were performed with the SAME posting and document date. Therefore, I believe both will be using the same exchange rate which is PO exchange rate. There is no any price revision to the PO price. But why GR(101) hit Store and GRIR account while reversal (102) hit Store, GRIR and Price Difference account?

Further help is much appreciated!

Thanks and regards,

JT

[Former Member]

Accounting document header level , chek exchange rate for both the documents .

As per your scenario both must be same . If it differs then you should investigate who changed the exchange ?

[Former Member]

Hi Kalai,

During the GR reversal(102), we hit an error "Price Difference Account requires CO object". Therefore, we realized that the posting will hit Price Difference Account. So we do not proceed with the posting and we are investigating the reason now.

Been spending 2 days on this issue and couldn't find any reason yet. Any idea?

Thanks and regards,

JT

[Former Member]

Hi JT,

The price difference amount is due to exchange claculation to local currency and the amount it is hitting will be very negligible. This type problem happens when you work with foreign currency. This is just a back claculation error. i.e when system tries calculate foreign currency value from the rounded local currency during reversal, this difference crops up and hits to PRD account. you can debug the scenario and check the above.

Hope this clarifies your doubt.

Regards

[Former Member]

Hi all,

Thanks for the help.

I just found out that it is due to rounding problem during currency conversion that lead to the hit of Price Difference Account.

Thanks and regards,

JT

[kunal_ingale]

hi

please check ur exchange rate for the day

also check if ur material is with std price

also check if u have did MIRO ,if so then cancell that and then do reversal of GR

[PollyGan]

Hi

You may also refer to [note 191927|https://websmp205.sap-ag.de/~form/handler?_APP=01100107900000000342&_EVENT=REDIR&_NNUM=191927] for details regarding the exchange rate during goods movement:

-

---

In foreign currency purchase orders, the valuation approaches in the

purchase order or the invoices do not exist in local currency (they

usually exist in purchase order currency). They are converted from the

document currency into the local currency. The exchange rate of this

translation can be determined at several positions.

1. The exchange rate can be fixed in the purchase order header. This

specification has contract character with the vendor and means that

the fixed exchange rate should apply to this purchase order, that

is, independently of the exchange rate currently maintained in the

system.

2. When an invoice is entered, an exchange rate is specified

externally.

-

---

If you do not use "fix exchange rate" in PO, the exchange rate will be taken from master data(OB08)

for the posting date during goods movement. You may also refer to the calculation of KDM part in

the note 191927.

Hope it helps!

Regards,

Polly

Edited by: Polly Gan on Apr 9, 2010 6:29 AM