Currency Setup and Exchange Rate Tables
Infor LN maintains exchange rate tables in session tcmcs0108m supporting multiple rate types: daily spot rates, monthly average rates, closing rates, and budget rates. Each rate type serves different purposes: spot rates for transaction processing, average rates for income statement translation, and closing rates for balance sheet items. Rate tables can be updated manually, imported from treasury feeds, or pulled from external rate services via ION integration.
- Configure currency definitions in tcmcs0102m with decimal precision, rounding rules, and EMU conversion factors
- Maintain exchange rate tables in tcmcs0108m with rate types for spot, average, closing, and budget rate categories
- Set up automatic exchange rate import via ION to pull daily rates from treasury management systems or external providers
- Define triangulation rules for currency pairs that must convert through a reference currency such as EUR for EMU currencies
- Configure rate tolerance parameters to flag unusual exchange rate movements during daily rate table updates
Foreign Currency Revaluation
Period-end foreign currency revaluation adjusts open balances in AR, AP, and GL to current exchange rates through session tfgld0260m. Revaluation generates unrealized gain/loss entries that flow to the income statement while maintaining original transaction currency values. This process is critical for accurate balance sheet reporting under IAS 21 and ASC 830 foreign currency translation standards.
- Execute AP and AR revaluation through tfgld0260m applying period-end closing rates to open foreign currency balances
- Configure revaluation accounts for unrealized foreign exchange gains and losses per currency and account group
- Set up automatic revaluation scheduling as part of the period-end close process with proper reversal entry generation
- Support hedge accounting entries by linking revaluation adjustments to designated hedging instruments and relationships
Financial Statement Translation
For multi-currency enterprises, Infor LN translates subsidiary financial statements from functional currency to group reporting currency during consolidation. Translation method selection, current rate vs. temporal, depends on the subsidiary's functional currency determination and the reporting entity's accounting standards.
Translation differences are posted to a separate equity component in compliance with IAS 21 and ASC 830.
- Configure translation methods per subsidiary: current rate method for self-sustaining operations, temporal for integrated entities
- Define cumulative translation adjustment (CTA) accounts to capture translation differences in the equity section
- Set up parallel reporting currency layers to maintain dual-GAAP financial statements in both local and group currencies
Try it here, free
Infor LN Company and Enterprise Unit Design Worksheet
Plan LN companies, enterprise units, sites and currencies row by row, with user and volume totals, and export to Excel.
Optimize multi-currency operations in Infor LN—schedule a currency management review with Netray.