Currency Restatement and Business Unit Snapshot

Currency Restatement

The Currency Restatement Module for JD Edwards system users provides currency conversion of period balances. This functionality allows multiple companies with different base currencies to be reconciled into one restatement currency.

This functionality is available for the following templates:

• General Ledger Balances
• Job Cost Balances
• Advanced Cost Accounting Balances

In order to use the Currency Restatement functionality, you must be assigned a license for the Currency Restatement Module. Additionally, your Hubble Administrator needs to configure the optional F1113 table in your profile in the Administrator application.

Restatement Functionality

The restatement functionality takes into account the following to determine the correct exchange rate:

• The base currency for the company to determine from which currency to convert from
• The company date pattern, the year and the period to determine the calendar date for which an exchange rate should be found
• Individual object accounts in the report
• Period in the report
• Exchange rate from the JD Edwards Currency Restatement Rates Table (F1113)
• Exchange rate type from the Currency Restatement Rates Table (F1113), which is one of the following:
  • Month End Rate for Balance Sheet Accounts (Type M)
  • Monthly Average Rate for Profit and Loss Accounts (Type A)

The individual object accounts in the report are analyzed to determine which exchange rate to use from the Currency Restatement Rates Table (F1113) based on the associated period and exchange rate type.

1. If you are restating period 6, the rates for period 6 that are set up in the F1113 are used. If you restated period 5, the rates associated with period 5 are used.
2. If you are restating period 7 (or later), and there is no rate information set up in the F1113 for period 7, the rate for period 6 is used.
3. If you are restating period 1 (or earlier), and there is no rate information set up before period 2 in the F1113 table, Hubble will not restate the amount and will not give any errors. However, if you click on the Exchange Rate button, you see a message that explains there are no exchange rates currently being used in the inquiry.

Use Restatement Periods

Currency Restatement is performed by simply selecting restatement periods in your inquiry and then running it.

Restated period values are selected in the Period Filter and can be typed into the filter manually or chosen from the Period Assist.

In the Period Assist, the restated periods appear on the Restatement tab. Not only can you use standard restated periods such as Restatement Period 1, Restatement Period 2, etc., but you can also use Restated Quarters, Cumulative Periods, ITD Periods, and Year to Periods, etc.

In the below example, Restatement Period 1 has being added to the report. The Restatement Period values are calculated every time the report is run.

Selecting a Restatement Period which is Aggregated using Multiple Periods

When you use a period such as RYT (Year to Restatement Period) and RCE (Cumulative Restatement), Hubble converts the amount based on the latest exchange found in the range. So for example, RCE3 will use the rate for period 3. This means that RCE3 is not necessarily equal to R1 + R2 + R3, but instead is (P1+ P2 + P3) * Rate3.

View the Underlying Exchange Rate

Once you have run the report, you can see the underlying exchange rate being used. To do this, go to the Restatement menu, and in the Restatement group, click on Exchange Rates.

You will see the two currencies being used for conversion of the object accounts, the associated date and the two exchange rates.

Note: If conflicting exchange rate data occurs, the most recent value is used to make the calculations.

In the Restatement Exchange Rates dialog, two different rates are listed, the Balance Sheet Rate and the Income Statement Rate.

In Administrator, the balance sheet account range is designated by profile. The reason there are two rates is that year to date amounts are calculated differently for the two types of accounts:

• For P&L accounts, a restated year to date calculation is each month’s restated value added together.
• For Balance Sheet accounts, a restated year to date calculation is the YTD AA balance multiplied by the YTD-Period exchange rate.

Viewing the Exchange Rates when Exporting or Printing

You can include the exchange rate information on the cover page of a PDF or Microsoft Excel export. This is set in the Cover Page tab for Print Options (PDF) and Excel Options (Microsoft Excel).

Change the Base Currency

By default, the restatement currency defaults from Company 00000, however you can convert your period balances into any currency as long as there is associated Currency Restatement Rates File (F1113) data.

1. From the Restatement menu, click Settings.
2. Within the Restatement Settings dialog, you can change the Restatement Currency to any of the available currencies.

Converting Account Balances across two Sets of Exchange Rates

You can convert account balances across multiple sets of exchange rates as long as the Use 2-way restatement checkbox is enabled on Restatement Settings dialog (see above).

If you have the Use 2 way restatement option selected, Hubble will restate the currency going through an intermediary currency. Example: COP ->USD->CAD. If it is NOT checked, it will convert COP->CAD directly, and if the exchange rate for COP->CAD is not defined in your underlying JD Edwards data, no currency restatement will be performed.

For example, Company 80 has a domestic currency of Columbian Pesos (COP) and we want to display the balances in Canadian Dollars (CAD) even though there is no direct conversion between Columbian Pesos and Canadian Dollars in the JD Edwards data.

Within the Currency Restatement Rates File (F1113), the following information for period 5 will be used:

By changing the restatement currency to CAD through Restatement Settings (on the Restatement menu), you can convert the balances in COP to CAD. If there is no conversion, the Restatement Periods will be blank. If there is a possible conversion, the Restatement Exchange Rates dialog (also accessed from the Restatement menu) will include all of the rates required and the Restatement Periods will be populated in the report.

Remember that the Use 2 way restatement checkbox must be enabled.

Business Unit Snapshot

JD Edwards E1 provides functionality called “Date-Effective Organizational Structures” or “Snapshots” to support organizations that change Business Unit structures over time, moving business units from one legal entity to another. If the Snapshot functionality is enabled, then as business units are moved into different groupings using category codes, the date history of the structure change is stored in the

F0006S table. Users can then go "back in time" and run financial reporting based on the business unit structures "as of" specified dates. Further, cumulative period reports can be written to take into account the organizational structure changes, placing dollar amounts into the correct organizational buckets based on timing of the organizational changes.

The Business Unit Snapshot functionality allows users to create reports that derive the correct Business Unit attribute/category codes using the Snapshot effective dates. The F0006 data can be used for summary reports (such as GL Balances) or transactional reports (such as GL Transactions), accurately grouping amounts and journal entries according to structures recorded in the F0006S. Users will have full drill-down capability to the original GL transactions based on time-phased organizational changes.

To enable the Business Unit Snapshot option in your Balances or Transactions templates, your Hubble Administrator must map the Date Effective Business Master Table (F0006S) in your profile in the Administrator application.

The data being included in the inquiry changes according to the option selected in Inquiry Options; data can be included or excluded in the circumstances described in each option.

Below are sample results in a GL Balances report when Business Unit Snapshot is not enabled:

The same report, with Business Unit Snapshot enabled (with a setting of Include period if snapshot date falls inside it), has different results due to the values in the Date Effective Business Master (F0006S) Table.

Business Unit Snapshot Options

1. On the Home menu in the Options group, click Inquiry Options.
2. Go to the Advanced tab.
3. In the Use Business Unit Snapshots option, select one of the options in the drop-down to determine which snapshots should be included in the inquiry.
4. Sort and group your data using the Business Unit category codes defined in the F0006S.
5. In the GL Balances Template, the Business Unit Snapshot options are:
   1. No, don’t use snapshots: Derives all business unit information from the Business Unit Master (F0006) Table. This is the default option and indicates no change to existing behavior.
   2. Include period if snapshot date falls inside it: A Snapshot effective date that falls within the period causes amounts to be displayed for the period.
   3. Exclude period if snapshot date falls inside it: A Snapshot effective date that falls within the period causes amounts to be excluded for the period, but displays the amounts in the next period.
   4. Include when snapshot falls in the first half, otherwise exclude: A Snapshot effective date from of the 1st to the 15th causes amounts to be displayed for the period. Effective dates greater than the 15th will display amounts in the next period.

Business Unit Snapshot in the GL Transactions Template

In the GL Transactions Template, the specified date in the F0911 is correlated to the Effective Date in the Business Unit Snapshot Table (F0006S). For example if GL Date is selected as the Business Unit Snapshot option, then transaction amounts are time-phased according the GL date, relative to the Effective Dates in the Business Unit Snapshot Table.

The different Business Unit Snapshot options in the GL Transactions Template are:

• No, don’t use snapshots: Derives all business unit information from the Business Unit Master (F0006) Table. This is the default option and indicates no change to existing behavior.
• On Column F0911.GLDGJ – GL Date: A Snapshot effective date based on the GL Date in the F0911 causes amounts to be displayed for the period.
• On Column F0911.GLDICJ – Batch Date: A Snapshot effective date based on the Batch Date in the F0911 causes amounts to be displayed for the period.
• On Column F0911.GLHDGJ – Historical Date: A Snapshot effective date based on the To confirm the results, we will isolate one row: Business unit 80, Object Account 1110, Subsidiary BEAR. The original Columbian amount was $10,000. When this is converted using the COP to USD exchange rate (i.e. 10,000 * 0.000947), this would result in $9.47 United States Dollars. Using the USD to CAD exchange rate, $9.47 is converted to $14.66 Canadian Dollars (i.e. 9.47 * 1.548765).