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rrukasha's avatar
rrukasha
New Contributor
2 years ago

Alternative currency overrides aggregation

How do you consolidate currency overrides using alternative currencies e.g. Base Entity and immediate parent are in EUR and ultimate parent is in USD. Client wants to view consolidated view of immediate parent in USD including the currency overrides. The same reverse is required for USD entity rolling up to EUR. We have created alternate flow members but the aggregation is a challenge.

Finance
  • chul's avatar
    chul
    2 years ago

    This is generally handled by having all parents in USD in the main hierarchy. This way, the base entities are translated to USD - they take into consideration all USD overrides. Then alternate hierarchies are used to view parents in other currencies.

  • chul's avatar
    chul
    Contributor III
    2 years ago

    This is generally handled by having all parents in USD in the main hierarchy. This way, the base entities are translated to USD - they take into consideration all USD overrides. Then alternate hierarchies are used to view parents in other currencies.

  • BobNelson's avatar
    BobNelson
    New Contributor III
    2 years ago

    Unless I'm not understanding the question correctly, there is a field called Auto Translation Currencies in the entity dimension.  You could have an EUR entity tree to an EUR parent, but put USD in the Auto Translation Currencies field.  Of course if you are using dollar overrides in the equity section, this could potentially get complicated, but you can test for the currency member in rules.  

    • chul's avatar
      chul
      Contributor III
      2 years ago

      Be aware that Auto Translation Currencies does not consolidate (and also adds time to your consolidation). So if you look at your immediate EUR parent in USD, it will translate the parent values to USD rather than consolidating the USD amounts from the children.

      • BobNelson's avatar
        BobNelson
        New Contributor III
        12 months ago

        That's correct.  It's definitely flawed.  But it's also useful, especially if it avoids having to maintain (and consolidate) two different structures.  As in all implementations, there are multiple approaches with multiple pros and cons.