Fixed Exchange Rate on SO/PO

Juhl
Juhl Member Posts: 724
in NAV Three Tier
Any experiences?
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Comments

  • KTA8
    KTA8 Member Posts: 399
    Can you explain yourself more?
  • Juhl
    Juhl Member Posts: 724
    Of course :-)
    We need to lock exchange rate per SO/PO. So it is posted with that rate, instead of the rate specified in NAV. It also needs to stay locked if rate is updated.
    The Exchange Rate is locked in the bank for the future, as it may be 2-3 months before post.
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  • KTA8
    KTA8 Member Posts: 399
    by Exchange Rate Insurance?
  • Juhl
    Juhl Member Posts: 724
    Exchange Rate Insurance ??? In standard NAV or ?
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  • KTA8
    KTA8 Member Posts: 399
    Juhl wrote: »
    Exchange Rate Insurance ??? In standard NAV or ?

    It's not but it's the only way to secure a exchange rate.

    We use exchange rate quite a lot. In one side we've the official (BCE) but we also keep the exchange rate in order time until we get the materials (in takes time because they need to be manufactured and shipped first), other time we refresh it by taking the exchange of the day. We pay with another rate (market one) or by financial operations like exchange rate insurance; even mixed or postfinancial it.

    In my experience if you really use financial operations over the exchange rate, it would be hard to define your business process because it's something that goes through the organization. And I haven't talked about the sales perspective. I don't know if your need is in trading model business.

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