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[Sherry Moran]

We found that when a foreign currency PO is received it hits the 201500 GL account using one exchange rate, when that PO is vouchered it offsets the same GL account using a different exchange rate thereby leaving a foreign exchange difference in the account.  Is there a way to clear these transactions out or is there a setup on the account which may handle this?

Thanks,
Sherry

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Sherry Moran
SR Business Systems Analyst
Key Technology, Inc
Walla Walla WA
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[Napoleon Cordoviz]

There is a periodic foreign currency revaluation process that you can run in the GL, AP and AR which I believe should handle this.
Thanks!

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Napoleon Cordoviz
Sr. Business Analyst
Universal Weather and Aviation, Inc
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[Heather Roskewich]

Hi Sherry,
Which version of AX are you using? We had similar issues with AX2012 R2 but R3 cleaned up the double postings on inbound product receipts so it’s better now. Without knowing your GL structure, I’m going to assume that the GL account you mention is a balance sheet account and these amounts are getting stuck on your balance sheet. There is a white paper that I found helpful and, with some adjustments, we’ve solved most of our issues with a partial adoption of their recommendations. We do still have problems with FX variances on negative PO lines (vendor returns) so it’s not a perfect solution but I know what to look for now and manage it accordingly.

Search for: Microsoft Dynamics® AX 2012 R3 Accounting for stocked items on product receipts and vendor invoices
There used to be a white paper for older versions of AX but I can’t seem to find it now.
Good luck,
Heather

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Heather Roskewich
Controller
Somagen Diagnostics Inc.
Edmonton AB
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[Sherry Moran]

Napolean – I believe we’ve tried running that but I’ll run again to be sure.

Heather – we’re on AX2012 R2 CU 7, I’ll look for the white paper too.  We’ve debated going to R3, this may be another tick in the yes column if we can’t resolved in R2 in a somewhat automated fashion.  Thank you for the tip.

Sherry

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Sherry Moran
SR Business Systems Analyst
Key Technology, Inc
Walla Walla WA
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[Heather Roskewich]

Hi Sherry,
I found the old white paper (attached) – it instructs you to push the variances to the P&L. I’ve studied the postings behind this closely and did consult with a finance consultant who told me that Microsoft suggest that this works appropriately. The variance appears when an invoice is posted to the stock receipt on a different day or period than the stock receipt and when the exchange rate has changed. It seems ‘off’ to me but I’ve found no other solution. R3 will definitely help, at least for inbound stock receipts. The FX revaluation didn’t work for us. 
Cheers.

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Heather Roskewich
Controller
Somagen Diagnostics Inc.
Edmonton AB
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