System / Archibus Administrator - Application Configuration / Define Exchange Rates

Updating Converted Amounts

After defining conversion rates for your currencies for use with the Enhanced Global Feature Set using the select System / Archibus Administrator - Application Configuration / Define Exchange Rates task, you can run an action that updates Amount VAT Expense, VAT Income, Total Income, and Total Expense Amounts in both the Payment and Budget Currencies. You can run this action for all Recurring and Scheduled Costs, or for only costs with due dates after a specific date. When updating scheduled costs, the system uses the conversion rate for the date closest to and prior to the Due Date for the cost record.

Before running this action, you must:

• Define the VAT Percent for the cost categories and countries associated with your cost records. See Defining Default VAT Percentages by Cost Category and Country.
• Provide valid conversion factors to the Organization Budget Currency for both the Budget Exchange Rate and Payment Exchange rate types for each Payment Currency you use to record cost transactions. See Defining Exchange Rates.

When you run the Update Converted Amounts action of the System / Archibus Administrator - Application Configuration / Define Exchange Rates task, the system:

1. Asks you to choose whether to update all recurring and scheduled costs, or only recurring and scheduled costs having a Date Due after a date that you enter.

   Note: If you select to update all costs, the system overwrites any amounts calculated using a different exchange rate. If you want to preserve these records, update cost records with a Date Due that is after the last time you entered new exchange rates.

2. Checks if there is a VAT override value entered for the costs.
   • If so, the application uses the VAT Amount Override value entered for the cost record, or the VAT Percent Override to calculate the VAT Costs.
   • If no override values is found, the application gets the VAT Percent to use for the VAT Costs calculations based on:
     • VAT Country and the currency associated with the Locale field entered in your User Profile.
     • VAT Percent entered for this cost's cost category and country as defined by your Archibus System Administrator.

3. The application then updates the following data for the cost record:
   • VAT Percent: The percentage used to calculate the VAT Costs as determined in Step 2.
   • Amount Income - VAT (Payment) = Amount Income - Base (Payment) x VAT Percent Value
   • Amount Expense - VAT (Payment) = Amount Expense - Base (Payment) x VAT Percent Value
   • Amount Income - Total (Payment) = Amount Income - Base (Payment) + Amount Income - VAT (Payment)
   • Amount Expense - Total (Payment) = Amount Expense - Base (Payment) + Amount Expense - VAT(Payment)
4. Converts these costs from the Payment Currency to the Budget Currency. The application stores these Budget Currency values so that you can generate reports at the organization level that are based on the Budget Currency. The costs are converted according to the exchange rate values you entered in the afm_conversions table using the System / Archibus Administrator / Define Conversion Rates task.

If some cost records do not have an exchange rate entered for converting the Payment Currency to the Budget Currency, you receive a message that you must update the exchange rate for the currencies used in the cost records before running the Update Converted Amounts action.

If there is an Exchange Rate Override entered for a cost, that value is used. Otherwise, the system gets the conversion factors for the Budget Exchange Rate and the Payment Exchange Rate based on the following:

• Gets the exchange rate that has a Source Units that matches the Payment Currency associated with the cost record, and the Destination Units that matches the Budget Currency for this project. Either the Budget Exchange Rate Type (for the Budget Exchange Rate) or the Payment Currency Type (for the Payment Exchange Rate Type),
• Gets the exchange rate for the cost's Date Due. If this exchange rate does not exist, the system gets the closest date prior to the Date Due.

The system updates the following fields:

Budget Currency with the application parameter (OrganizationCurrency) set by your System Administrator.

Date Used for Payment Exchange Rate: Stores the date used for the Payment Exchange Rate conversion factor. For Scheduled and Actual Costs, the system looks for a conversion rate for the Date Due of the cost record; if a conversion factor for this date is not available, the system uses the conversion factor date that is closest to and prior to the Date Due. For Recurring Costs, the system uses the most recent conversion factor.

Date Used for Budget Exchange Rate: Stores the date used for the Budget Exchange Rate conversion factor. For Scheduled and Actual Costs, the system looks for a conversion rate for the Date Due of the cost record; if a conversion factor for this date is not available, the system uses the conversion factor date that is closest to and prior to the Date Due. For Recurring Costs, the system uses the most recent conversion factor.

Amount Income = Amount Income - Total (Payment) x Budget Exchange Rate

Amount Expense = Amount Expense - Total (Payment) x Budget Exchange Rate

Amount Income - Base (Budget) = Amount Income - Base (Payment) x Budget Exchange Rate

Amount Expense - Base (Budget) = Amount Expense - Base (Payment) x Budget Exchange Rate

Amount Income - Base (Budget) = Amount Income - VAT (Payment) x Budget Exchange Rate

Amount Expense - VAT (Budget) = Amount Expense - VAT (Payment) x Budget Exchange Rate