This content is created to clear any misconceptions about the field FRWAE in the COPA line items. Customers often think that the line item is stored in the transaction currency and are confused when they find FRWAE filled with another currency. The content should make it clear what FRWAE represents and how it is filled.
COPA documents are stored in operating concern currency and company code currency (if activated in transaction code KEA0). COPA documents are not stored in transaction currency. There can be a misunderstanding about the foreign currency field FRWAE in the COPA line item. The field FRWAE is not intended to reflect the transaction currency. It is just used to store the currency from which the conversion to the currency of the record is made. This field always contains the currency used for the translation into operating concern and company code currency respectively.
Foreign currency in record type F
Usually the foreign currency will be the transaction currency of the sender document in case you are dealing with billing documents. However it's also possible that the amount in operating concern currency is translated based on company code currency. This is based on the logic explained in note 429517. In this case the COPA line item will then contain the company code currency as foreign currency. When billing documents are reposted to COPA using KE4S if the exchange rate has changed then FRWAE could also change.
Foreign currency in record type B
In order to allow reconciliation between FI and CO-PA, CO-PA uses company code currency as the base to convert to operating concern currency for direct FI and MM postings. From ECC 6.0 note 604936 is part of the standard. This note changes the logic in a way that if group currency is present in FI and is identical to the operating concern currency, CO-PA takes over this value from FI without translation for the line item in operating concern currency (currency type 'B0'). So FRWAE is the group currency in this case.
Foreign currency in record type C
In case of settlement the values are settled from a cost object into CO-PA. The foreign currency is the source currency used for translation to COPA. The translation to operating concern currency is always done from the CO area currency. The translation to the company code currency is explained in note 1320586.
Foreign currency display in transaction KE24
Sometimes the values of the foreign currency can differ slightly depending on whether you select the company code currency or the operating concern currency prior to clicking on the foreign currency tab in KE24
If I select currency type = 10 (company code ccy) in KE24 then VV001 is 35359.33 RUB on foreign currency tab.
If I select currency type = B0 (Operating concern currency) then VV001 is 35359.15 RUB on foreign currency tab.
As you know data is not stored in COPA in foreign currency (which is basically the document currency or transaction currency). The data is stored in the COPA tables in the operating concern currency and company code currency. So when the selection in KE24 is '10' then system converts from the company code currency to foreign currency using exchange rate stored in line item. This is similar for selection 'B0'.
As per KE24 the following amounts were calculated:
Company code ccy 13998.76 UAH ; (13998.76 / 0.3959) = 35359.33 RUB
Operating concern ccy 666.52 USD ; (666.52 / 0.01885) = 35359.15 RUB
Let´s take another example.
Foreign currency value for value field VV001 was 27.42 CAD and as CAD is also company code currency this value (27.42 CAD) was stored in ledger 10 without any required conversion.
USD value for ledger B0 was converted with rate /1.334 which resulted in 20.55 USD (27.42 / 1.334 = 20.5547226).
When you press now the 'entry/operating concern currency' button on the KE24 menu bar for the currency conversion in KE24 online conversion from B0 (USD) value to foreign currency (CAD) takes places as follows: 20.55 x 1.334 = 27.4137.
As a logical consequence 27.41 CAD will be displayed which is correct despite ledger 10 holds 27.42 CAD.
Absolutely correct company code currency values can only be analysed in KE24 in case you select with ledger 10.
Posting CO-PA document using BAPI_ACC_DOCUMENT_POST / BAPI_COPAACTUALS_POSTCOSTDATA.
With the current design of the BAPI postings, the system will always use transaction currency as source currency in case a translation is required in CO-PA. In case table 'VALUEFIELD' is not provided, CO-PA will take over the amounts directly from the accounting interface table. If you want the FRWAE (Foreign Currency) as Company Code Currency, then you need to give INPUTDATA-CURRENCY as Company Code Currency and of course the values also need to be supplied in this currency.”
In general FRWAE and KURSF are technical fields that should not be used for any reporting purposes. The values in foreign currency are not important since they are only for display purpose. They are not stored in any database. The system design is such that we should be reconciled with FI in company code currency as far as possible.
Related SAP Notes/KBA
SAP Note 429517 : INFO: Currency translation Billing document -> CO-PA
SAP Note 604936 : No transfer of group currency for FI/MM postings
SAP Note 1320586 : Info: Currency translations in settlement to COPA