Appendix C. USING THE EURO › C.2 Converting Accounting and Chargeback to Euros
C.2 Converting Accounting and Chargeback to Euros
What does the euro conversion mean for I/S accounting?
o Prices, charges, and other amounts currently expressed in
the national currency must be converted to euros.
o Euro conversion and rounding rules must be followed.
o Euro-based charges cannot be combined with national
currency-based charges.
o Euro-based charges cannot be compared to national
currency-based charges.
o Historical data can be maintained in the national currency
in which it was originally produced, or it can be converted
to euros for easier comparison to future data.
The procedure for converting CA MICS Accounting and
Chargeback Option to the euro is built on one fundamental
principle:
************************************************************
* CA MICS ACCOUNTING AND CHARGEBACK OPTION MUST BE *
* CONVERTED TO EUROS AT THE BEGINNING OF A NEW ACCOUNTING *
* YEAR. *
************************************************************
Except for the dual-currency support for euros, CA MICS
Accounting and Chargeback Option is a single-currency system.
There is no facility for distinguishing between charges
calculated in one currency and those calculated in another.
Therefore, changing the base currency must be done at the
beginning of a new accounting month and year, so that the
monthly and yearly files only contain charges in one
currency.
If you are doing multi-site accounting, the remote and
central sites MUST convert to euros at the same time. This
will prevent the multi-site financial recap file from being
corrupted by charges in two currencies in the same file.
The conversion procedure is straightforward. Its five steps
are discussed in detail throughout this procedure:
o Convert all rates to euros.
o Convert all amounts now held in national currency to euros.
These include budgets, recurring debits and credits, and
lump sum discounts.
o Change the various currency formats to print in euros.
o Change reports to print in euros, or in euros and national
currency.
o Convert historical information into euros, if desired.
The most critical aspect of this process is timing. In order
for the monthly and yearly files to be created correctly,
certain steps must be done at certain times. Therefore, the
procedure is organized by time frame:
TASKS THAT CAN BE DONE AHEAD OF TIME
o Add rates in euros using the effective date feature.
o Create budgets in euros using the effective date feature.
o Change the "Number of positions to round charges" option,
if necessary.
o Compile a list of standard reports for testing; create
reports to display data in both currencies, if desired.
o Evaluate the timing of your last national currency MONTHLY
or MONTHACT job in your SMF unit.
TASKS THAT MUST BE DONE IMMEDIATELY AFTER THE CLOSE OF THE
LAST NATIONAL CURRENCY MONTH
o Remove all national currency rates; remove the effective
dates from the euro rate entries.
o Confirm that all rates in the 00 cycle of the MONTHS ledger
are in euros.
TASKS THAT MUST BE DONE BETWEEN THE CLOSE OF THE LAST
NATIONAL CURRENCY MONTH AND THE CLOSE OF THE FIRST EURO MONTH
o Convert recurring debits and credits to euros.
o Convert volume discounts to euros.
o Convert cost center lump sum discounts to euros.
o Convert default budget overrun fuzz value to euros.
o Change the euro conversion specifications settings in MWF.
o Change the various currency formats to euros.
o Produce month-to-date invoices.
o Distribute the month-to-date invoices, if desired.
TASKS TO BE DONE AFTER THE CONVERSION
o Test your standard reports.
o Convert historical data, if desired.
o Review the currency change effects on the Journal Run
Status Log panels.
The following sections describe these tasks in detail by
time frame.
TASKS THAT CAN BE DONE AHEAD OF TIME
1. Add rates in euros using the Effective Date feature.
You can do this manually or use the Euro Rate Table
Conversion Utility, which will convert the rates and add
them to the rate table with an effective date set to the
changeover date. See Section C.3 for a complete
description of this utility.
Note: If you use the Euro Rate Table Conversion Utility,
you must still perform steps e) and f) as described below.
If you do NOT use the Euro Rate Table Conversion Utility:
Use the effective date feature of the Algorithm
Specification panels to ensure that the euro rates take
effect only at the beginning of a new accounting month and
year. Set the effective date to the changeover date. In
this way you can set the euro rates ahead of time, with
plenty of time to review and confirm them, and without
corrupting the data for the current accounting month and
year.
Note that there is a limit of two effective dates per
compcode per algorithm. If you already have two effective
dates defined for a compcode, you will have to delete one
to make room for the new row. Take care when selecting
the row to delete: do not delete the row that is being
used to charge current data.
a) Go to MWF Algorithm Specification panels (MWF 4;2;3;6;3
and 4;2;3;7;3).
b) Create a new line for each compcode, except for the
special compcode SURC.
SURC, a unit-of-work surcharge, is specified in
percentage terms and does not need to be converted.
c) Enter the rate in euros.
d) Set the effective date to the changeover date. Any
work that occurs after this date will be charged in
euros.
The following steps must be executed whether the rates
were changed manually or by the Euro Rate Table Utility.
e) Run a MAGRUN in every affected unit to put the new
rates into effect. A MAGRUN can be run when you finish
setting the rates for that unit. The effective date
will prevent the new rates from being used ahead of
time.
o Submit prefix.MICS.CNTL(MAGRUN)
o Examine the Journal File Rate Report produced as part
of the MAGRUN. Ensure that all of the rates have
been specified correctly.
f) If complex-level external files are being used, run
EXTFILE to put their new rates into effect. The
EXTFILE job can be run when you finish setting the
rates for your complex-level external files. The
effective date will prevent the new rates from being
used ahead of time.
o Submit sharedprefix.MICS.CNTL(EXTFILE)
o Examine the External Files Rate Report produced as
part of the EXTFILE job. Ensure that all of the
rates have been specified correctly.
2. Create budgets in euros using the Effective Date feature.
Budgets can be converted to euros ahead of time by
creating new budgets in euros, and setting their
effective dates. The effective date should be set to the
first day of the second month of the new accounting year,
NOT to the changeover date.
The effective date for budgets is set differently than
that for charging elements because it works differently.
Budgets are aged by the CLOSETBL job, and a budget takes
effect when its effective date is less than or equal to
the date the CLOSETBL job is run. The budget for the
month being closed is taken from the new budget.
For example, if you run a CLOSETBL on January 6, 2008 to
close December 2007, and there is a budget with an
effective date of January 1, 2008, that budget will
become effective, and its December figure will be
associated with the December being closed.
You do not want the euro budgets to take effect with the
first CLOSETBL of the accounting year. The first
CLOSETBL of the accounting year closes the last month of
the prior accounting year, and you do not want the euro
budget to be applied to that month. Therefore, you need
to set the budget's effective date so the budget will
only take effect at the second CLOSETBL of the accounting
year. The earliest this CLOSETBL can be run is the first
day of the second month of the new accounting year.
a) Use MWF 4;2;1;2 and edit cycle 00.
b) Select each cost center for which budgets have been
defined.
c) Use the insert primary command to create a new budget.
d) Set the effective date to the first day of the second
month of the new accounting year.
e) Enter the budget in euros.
f) Run the sharedprefix.MICS.CNTL(ACTXBGT0) job as
prompted.
3. Change the "Number of Positions to Round Charges" option,
if necessary.
This controls the number of decimal places to which to
round charges in the journal and ledger files. Charges
are always rounded to two decimal places in the recap
file.
a) Go to MWF General Installation Accounting
Specifications panel (MWF 4;2;3;2;1).
b) Run the sharedprefix.MICS.CNTL(ACTXOPTS) job as
prompted.
c) This will take effect with the next DAILY run.
4. Compile a list of standard reports for testing; create
reports to display data in both currencies, if desired.
Before conversion, make a list of the financial reports
your site uses each accounting month and year. Every
report on this list should be reviewed to see if it needs
modification to work properly after conversion. Some
possible issues are the following:
o Any references to national currency, either in column
headings or in monetary format, will have to be changed
to euros.
o Reports that bring in data across an accounting year
boundary will have to be changed to avoid summing
national currency amounts with euro amounts, unless you
plan to convert your historical data to euros.
o Reports that print previous data using current invoice
formats will have to be changed to use a national
currency format, unless you plan to convert your
historical data to euros.
o Reports that use the fffCOST element from higher
timespans of the CA MICS resource files will give
invalid or misleading results if your CA MICS
Accounting calendar does not match your CA MICS
calendar.
For more information on the pros and cons of converting
your historical data to euros, and the effect this can
have on your reports, see the information on converting
historical data in the section, Tasks to Be Done After
the Conversion.
Invoices can display totals in both currencies, if
desired. See Section C.1 for more information on
enabling dual currency display on invoices.
Your site may have other critical reports on which you
want to display both currencies during the transitional
period. You will need two versions: one that converts
national currency charges to euros, the other that
converts euro currency charges to national currency
units. These reports can be developed, and the first
type used, before you convert your complex to euros.
The MONEYE SAS format is provided to display monetary
amounts in euros. It is located in
sharedprefix.MICS.SOURCE(MONEYE). Note that this member
also includes the MONEYC and MONEYBC formats for use with
the dual currency invoice options.
5. Evaluate the timing of your last national currency
MONTHLY or MONTHACT job in your SMF Unit.
If you are charging from the Batch Job journal file
(ACTJBJ), you may want to review when the MONTHLY or
MONTHACT job will run in that unit.
Jobs are charged from the Batch Job journal file when the
job is purged from the system, and a purge record cut, or
when the job reaches its suspend limit and leaves the
suspend file. Jobs processed by CA MICS after the last
MONTHLY or MONTHACT job splits and ages the month-to-date
ledger file must be charged in euros, no matter when the
work was done. Therefore, you may want to postpone
running this last MONTHLY or MONTHACT job for a few days
to allow long running jobs to work their way through the
system and into the month-to-date ledger before this
ledger is split and aged.
The same issues exist for charging for started tasks from
the Batch Job journal file.
Note that this only applies to charging from the Batch
Job journal file. Charging from the Batch Program
journal file is done when the step ends, or when the
interval ends, if interval accounting is turned on.
TASKS THAT MUST BE DONE IMMEDIATELY AFTER THE CLOSE OF THE
LAST NATIONAL CURRENCY MONTH
1. Remove all national currency rates; remove the effective
dates from the euro rate entries.
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* This must be done after the MONTHLY or MONTHACT job *
* and before the next DAILY job! This timing is *
* EXTREMELY important! *
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When the MONTHLY job is run to close the last national
currency month, work for that month in the 00 cycle of
the ledger will be aged to the 01 cycle of the ledger.
From this point on, any work from that month that is
loaded into CA MICS will remain with the work for the
first euro month and will be aged with it when the first
euro month is closed. This can happen, for example, with
batch jobs run in the prior month but purged after the
month is closed. Since this work will become part of the
financial recap file for the first euro month, it must be
charged in euros. This will not happen unless the
national currency rate is removed and the effective date
removed from the euro currency rate entry.
a) MWF Algorithm Specification panels (MWF 4;2;3;6;3 and
4;2;3;7;3).
b) Remove the lines containing the national currency
rates.
c) Remove the effective date from the lines containing
the euro rates.
d) Run a MAGRUN in every affected unit. A unit's MAGRUN
can be run when you finish editing the rates for that
unit.
o Submit prefix.MICS.CNTL(MAGRUN)
o Examine the Journal File Rate Report produced as
part of the MAGRUN. Ensure that no national
currency rates remain, and that no euro rates have
effective dates.
e) If complex-level external files are being used, run
EXTFILE. The EXTFILE job can be run when you finish
editing the rates for your complex-level external
files.
o Submit sharedprefix.MICS.CNTL(EXTFILE)
o Examine the External File Rate Report produced as
part of the EXTFILE job. Ensure that no national
currency rates remain, and that no euro rates have
effective dates.
2. Confirm that ALL rates in the 00 Cycle of the MONTHS
Ledger are in euros.
It is strongly recommended that you run a report at this
point to confirm that all rates in the 00 cycle of the
MONTHS ledger are in euro. It can be as simple as a PROC
FREQ on compcode (LGRCPC) and rate (LGRRAT). Confirm
that all the rates are euro rates by comparing them with
the rates on the Journal File Rate Report from the unit's
MAGRUN.
Verifying that all is well as soon as possible will
minimize the amount of time and effort required to
correct any omissions or mistakes.
TASKS THAT MUST BE DONE BETWEEN THE CLOSE OF THE LAST
NATIONAL CURRENCY MONTH AND THE CLOSE OF THE FIRST EURO MONTH
The optional items discussed in this section are specified as
currency amounts, and must be converted to euros before the
close of the first euro month. Follow the instructions for
those items that apply to your environment.
Do not change any of these items until you have run the
FINRECAP or INVOICE job to produce the "final" invoice for
the last national currency month. Up to this point, your
last national currency month is not closed.
1. Convert recurring debits and credits to euros.
This must be done before running the CLOSETBL job for the
first euro month.
a) Use MWF 4;2;1;3 to edit cycle 00 for recurring
entries.
b) If the entry contains a quantity and rate, replace the
rate with the euro rate and press Enter; the new
charge will be calculated.
c) If the entry only contains a charge, enter the
converted charge.
d) Run the sharedprefix.MICS.CNTL(ACTXADJ) job as
prompted.
2. Convert volume discounts to euros
This must be done before running the FINRECAP or INVOICE
job for the first euro month.
a) Use MWF 4;2;3;2;2;2 to display the list of volume
discounts.
b) Enter the converted discounts.
c) Run the sharedprefix.MICS.CNTL(ACTXOPTS) job as
prompted.
d) Note that invoice category discounts and all
surcharges are specified in percentages, so no
conversion is necessary.
3. Convert cost center lump sum discounts to euros.
This must be done before running the FINRECAP or INVOICE
job for the first euro month.
a) Use MWF 4;2;1;1;2 to display a list of cost centers.
b) Access the discounts for each cost center using the T
line command.
c) Enter the new lump sum discount.
d) Run the sharedprefix.MICS.CNTL(ACTXCCA) job as
prompted.
Note that invoice category discounts and all surcharges
are specified in percentage terms, so no conversion is
necessary.
4. Convert "Default Budget Overrun Fuzz Value" to euros.
This must be done before running the FINRECAP or INVOICE
job for the first euro month.
a) Use MWF 4;2;3;2;1 to display the General Installation
Accounting Specifications panel.
b) Convert the fuzz value to euros.
c) Run the sharedprefix.MICS.CNTL(ACTXOPTS) job as
prompted.
5. Change the euro conversion specifications in MWF.
The Euro Conversion Specifications are used by the
invoice process for the dual currency display option, as
well as by the Euro Rate Table Conversion Utility. Even
if you are not currently using the dual currency invoice
option, it is best to set this correctly now.
a) Use MWF 4;2;3;2;7 to display the Euro Conversion
Specifications panel.
b) Set the lead currency to euros.
c) Set the target currency to the national currency.
d) Run sharedprefix.MICS.CNTL(ACTXOPTS) as prompted.
6. Change the various currency formats to euros.
This can only be done after the last set of invoices in
the national currency has been printed. It must be done
before printing the first set of invoices in euros.
The MONEYE format, a currency format for printing in
euros, is defined in sharedprefix.MICS.SOURCE(MONEYE).
You can use this as a model in modifying the following
formats:
a) The MONEY format is used to print charges, and is
defined in sharedprefix.MICS.SOURCE(MONEY).
b) The MONEYR format is used to print rates, and is also
defined in sharedprefix.MICS.SOURCE(MONEY).
c) Run prefix.MICS.CNTL(BASPGEN) in one unit to generate
the MONEY and MONEYR formats.
d) The MONEYB format is used to print budget amounts, and
is defined in sharedprefix.MICS.SOURCE(MONEYB).
e) There is no delivered job to regenerate the MONEYB
format. Construct a SAS job with a DD of MCOLIB
pointing to your sharedprefix.MICS.MCOLIB, and the
SYSIN pointing to sharedprefix.MICS.SOURCE(MONEYB).
If you have already enabled, or would like to enable, the
dual currency display on invoices, refer to ENABLING DUAL
CURRENCY INVOICE DISPLAY AFTER EURO CONVERSION in Section
C.1 for instructions.
7. Produce month-to-date invoices.
It is recommended that you produce a set of month-to-date
invoices after you have changed the above options, and
before closing your first euro month. This confirms that
all of the necessary items have been properly converted
to euros. Running this job and verifying the resulting
invoices will minimize the time required for you to
produce correct invoices for the first euro month. The
month-to-date invoice job is in
sharedprefix.MICS.CNTL(INVOICED).
8. Distribute the month-to-date invoices, if desired.
TASKS TO BE DONE AFTER THE CONVERSION
1. Test your standard reports.
Test each of the standard reports on the list you
compiled earlier. Make additional changes as required
and move them into production.
2. Decide whether to convert historical data.
Whether or not to convert historical data is something
you must determine for your environment. Auditing
requirements may demand that data be kept in the original
form from which the charges were generated, especially if
invoices have been issued. Converting all accounting
files to euros is not a trivial task. In addition,
records may not sum the same way after conversion: the
monthly financial recap files will probably no longer sum
to the year-to-date financial recap file, for example.
On the other hand, if you habitually incorporate data
from previous accounting years in your reports, you may
want them on the same currency base as your current data.
It is recommended that you keep your historical data in
the national currency. If your site does reporting on
previous accounting years' data, and you want these data
available in euros, make a copy of
sharedprefix.MICS.TABLES and retrofit the financial recap
and year-to-date financial recap files.
a) If you do not convert the financial recap files:
If you do not convert the financial recap files to
euros, you must evaluate the standard reports that you
run to ensure that the results are correct. Remember
that any report that brings in data across an
accounting year boundary, or that uses current invoice
formats to print out previous data, will need
modification to avoid invalid or misleading results.
The delivered euro-specific invoice format options
enable you to print data from previous months in both
euros and national currency. Even when using these
invoice formats, you must take care that the invoice
prints the charges in the correct currency. You
should not, for example, use the repeat invoice
program (sharedprefix.MICS.CNTL(INVOICER)) to reprint
invoices from a previous accounting year: the
national currency charges will be printed in euros
because the MONEY format will have been changed by the
conversion process.
Other reports, like the Budget Projection Report
(sharedprefix.MICS.CNTL(ACTYRBGT), may sum together
the past 12 cycles of debits, credits, and financial
recap files. Once you begin charging in euros, the
euro data is summed with national currency data,
yielding invalid results.
b) If you do convert the financial recap files:
If you decide to retrofit your financial recap and
year-to-date financial recap files, be aware of the
following:
A retrofitted financial recap file will no longer sum
to the retrofitted year-to-date financial recap file
because of cumulative rounding differences. Records
within the financial recap file may no longer add up,
due to rounding differences. In particular, records
calculated during the financial recap creation, like
zero-balance records, may not retain the relationship
to the other recap records that they had when
originally created.
You will need to convert the RCPRAT and RCPCHG values,
following the established euro conversion and rounding
rules. There are multiple versions of the financial
recap and year-to-date financial recap files. Your
site has at least the first two, and perhaps the
others, depending on how your system is configured:
o sharedprefix.MICS.TABLES(ACTRCPnn) Financial recap
file
o sharedprefix.MICS.TABLES(ACT_Yrnn) Year-to-date
financial recap file
o sharedprefix.MICS.TABLES(ACT_RCnn) Multi-site
financial recap file
o sharedprefix.MICS.TABLES(ACT_Ytnn) Multi-site
year-to-date financial recap file
o sharedprefix.MICS.TABLES(ACT_RRnn) Repeat
year-to-date financial recap file
o sharedprefix.MICS.TABLES(ACT_RTnn) Repeat multi-site
year-to-date financial recap file
3. Review the currency change effects on the Journal Run
Status Log panels.
The Journal Run Status Log panels help you keep an eye on
your total charges per journal file on a daily basis.
They are accessed through MWF (MWF 4;2;4;5;1;1). The
Journal Run Status Log Summary panel displays total
charges per journal file per run. The number of runs for
which information is kept defaults to 45; this can be
changed by the user. The Detailed Charges panel displays
total charges by billing date, SYSID, APU, billing
status, compcode and rate for the same number of runs.
The charges on both panels are displayed using an output
format. This defaults to dollars, but can be changed by
the user.
Because the Summary panel sums charges for each journal
file by DAILY run, the charges displayed on this panel
will be invalid on days in which data from both before
and after the changeover date is processed in the same
run. This should only be a concern for the first few
days after changeover. It is not a problem on the
Detailed Charges panel: since this panel breaks down
charges by rate, the national currency and euro figures
will appear on separate lines.
All charges are displayed using an output format as
discussed above. Because the panels maintain information
for many runs, and because the format for displaying the
charges does not vary from line-to-line, the currency
change will cause some charges to be displayed with the
wrong format. For some period of time, depending on when
you change the format, either charges in euros will be
displayed in the national currency, or vice versa.
To avoid the confusion this will cause, you can clear out
the file that contains the log data once your last
national currency month has been closed. The file will
be rebuilt by future DAILY jobs, and will only contain
data in euros. You can then change the output format to
euros. By doing this, your Journal Run Status Log
display will be correct and consistent; however, you will
no longer be able to see information about runs prior to
your clearing out the log file.
To reset the Journal Run Status Log display after the
last national currency month has been closed:
a) Delete the ACTRSJ01 file from the DAYS timespan in
every unit.
b) Change the format of the charges display to euros:
o MWF 4;2;3;2;6
o Change "SAS format for charges display" option.
c) Run the sharedprefix.MICS.CNTL(ACTXOPTS) job as
prompted.
If your site does not use the Journal Run Status Log
panels, you may choose to leave the DAYS.ACTRSJ01 file
alone. Eventually, the national currency runs will age
off. You can then change the output format to the euro
format.
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