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Foreign currency revaluations on non-monetary main accounts

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Posted on by Kevin11975

Hello,

I have the following issue while running foreign currency revaluations in the GL module:

Scenario:

Transaction currency: EUR

Accounting Currency: GBP

Reporting Currency: USD

While running the foreign currency revaluation in GL module, the system correctly adjusts the accounting currency (EUR -> GBP) and reporting currency (GBP -> USD) for all monetary transactions.

The issue is that it does the same calculation mentioned above for non-monetary transactions. Non-Monetary transactions should use the historical rate at the time of transaction and not get revalued on the ledger, but have the ability to update the reporting currency.

I believe there used to be a button on the main account in AX2012 to distinguish if the account should be classified as monetary or non-monetary and revalue accordingly.

Has this functionality gone away? Are there other ways to achieve this goal?

Thank you

Categories:

Dynamics 365 Finance

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Frank Hamelly | MVP... 46,485 Super User 2025 Season 1 on at

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Foreign currency revaluations on non-monetary main accounts

I see. Thanks for that clarification. While not ideal, a work around could be to enter a Reporting currency adjustment journal to update the reporting currency values for your non-monetary accounts while leaving the accounting currency as-is.
Kevin11975 17 on at

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Foreign currency revaluations on non-monetary main accounts

Thank you, @André Arnaud de Calavon

I understand that cash, AP & AR have revaluations within the modules. But can the functionality be restored if the field is still in the table definition? It is creating reporting problems for GAAP. It either revalues the ledger and the reporting currency based on the rate assigned or it does not. It doesn't appear there's a way to tell the system that certain main accounts how to revalue accounting currency and subsequently reporting currency.
André Arnaud de Cal... 294,095 Super User 2025 Season 1 on at

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Foreign currency revaluations on non-monetary main accounts

Hi Kevin,

Indeed, there was a Monetary checkbox in AX 2012 influencing the behavior of ledger revaluations. While the field is still in de table definition, it is not presented on forms and it seems like the coding is not evaluating this field anymore. I can't find a deprecation announcement for this field.

I used this option more than 12 years ago for the last time. I can't remember the exact differences. Maybe it has been removed because of now having bank revaluations widely available instead of only within a few localizations.
Kevin11975 17 on at

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Foreign currency revaluations on non-monetary main accounts

Thank you, Frank.

Unfortunately, If I uncheck the foreign currency revaluation button on the main account, it does not revalue the reporting currency either.

I need the account to be revalued, but monetary accounts should revalue the ledger AND the reporting currency while the non-monetary accounts should keep the accounting currency translation at the historical rate on the transaction date, but update the reporting currency to the current default or month end rate.
Frank Hamelly | MVP... 46,485 Super User 2025 Season 1 on at

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Foreign currency revaluations on non-monetary main accounts

You can specify on the main account whether the account should be revalued or not.