Exchange rate type you cannot assign to a company code.

Where as you can specify explicitly while

document entry.

By default in SAP for a new company code system will use 'M' rate as standard. If you want to replce
this exachange rate type with your new exchange rate type then goto SPRO --> General Settings -->
Currencies --> Define transilation ratios for currency translation

Maintain new exchange rate type as Alt.ERT against 'M' rate then system will take new exchange
rate instead of 'M' rate. Otherwise as I said earlier, you can use created exchange rate type in any
company code by specifying in document entry or payment program, or you even can assign ex.rate
type to a Document type, etc.,

Hope above helps.

***************************

If you are a China company and your local company code currency (curr.type 10) is CNY, then you
have to make the following changes to table TCURF:

First, find out all the foreign (non-CNY) currencies that you are dealing with. This may include EUR,
USD, and any other currency of the world.

Then, determine (or create) a new exchange rate type in table TCURV. This should be the rate type
for your "own" rates. Let's name it rate type "L" (for Local rates). Note: you can use the standard M
rate type as well, but it is more transparent if you define a separate one.

Then have a look into table TCURF and find the entries as follows:

Rate type: M

From-currency: all that you are using in your business (all non-CNY that you use)

To-Currency: CNY

Valid-from: find the recent entry for each combination

With all of these entries displayed, you will find that the alternate exchange rate type field (ABWCT)
in these entries is set to EURX.
Now you want to create a new TCURF entry as follows:

Rate type: M

From: the same foreign currencies as above

To: CNY

Valid-from: a newer date than the last current entry

Alternate exchange rate type: L (your new rate type) - in case you want to use just M, then leave
ABWCT empty.

If you are using the L type (which I recommend), then you have to add 2 new entries to TCURF for
each foreign currency:

1.

Rate type: L

From: foreign curr

To: CNY

Valid-from: 1.1.1800 (yes!)

Ratio from and to: as you want, it should be the same as in the corresponding M entry, usually 1:1,
but it depends

Alternate exchange rate type: leave it blank.

2.

Rate type: L

From: CNY

To: foreign curr.

Valid-from: 1.1.1800 (yes!)

Ratio from and to: as you want, it should be the same as in the corresponding M entry, usually 1:1,
but it depends

Alternate exchange rate type: leave it blank.

Finally, in OB08, you have to maintain rates like

type L, foreign curr to CNY

You are done

Testing
What is happening is the following (example you post a document in USD in your China company
code)

Doc.currency USD --> must be converted to your local currency CNY

First, the system looks the current ratios for the M entry:

M, USD to CNY, valid from: recent, 1:1 and ABWCT = L !!!! (the entry you have added before)

Then it checks the ratios for L:

L, USD to CNY, valid from 1.1.1800, 1:1, ABWCT = blank

Based on TCURF, the system will look for the current rate entered under rate type L, your local rate )

Now what if a USD-based company has to post something in CNY? No changes there as the TCURF
settings were not touched. They should look like this:

M CNY to USD, alt.exch.rate type EURX (or blank)

If it is EURX, then the rates enterd under EURX rate type (once USd to EUR and then CNY toi EUR) are
read and the cross-rate CNY to USD is calculated.

If it is blank, then the rate entered under rate type M is used.

In both cases, no change to your current process.

It works similar if the company code is EUR based.

The main idea is: redirect all M entries in TCURF where <anycurr> to CNY to the new rate type L, but
leave all other TCURF entries untouched. Direction <any> to CNY are only relevant for the China
company code, the rest of the world does not care about that conversion. They might be interested
in conversions like CNY to <any>, like in the above example, CNY to USD, or CNY to EUR, but that
could be their German or ECB rate, you do not have to care about.
 Foreign Currency Valuation
of Cash Account Balances
Use
Small and mid-sized companies operating in Poland are required to perform
foreign currency valuation and calculate the cash balance for their cash
accounts periodically according to the FIFO method.

You can use this report to perform the foreign currency valuation of cash
accounts according to the rules of FIFO valuation method at the end of each
posting period and at the end of the fiscal year. The valuation can be based
on the posting date or the currency translation date. It calculates the foreign
currency balance of cash accounts and the realized and unrealized exchange
differences that you can post with the report. You can also reverse the positive
and negative unrealized exchange differences.

Features
When you execute the report, it proceeds as follows:

1. The report checks the account balance in local currency (PLN) and foreign
currency for a validity period.

2. The report then checks which documents are included in the balance using
the FIFO rule (first in, first out), starting from the last accounting document

3. The report then compares the total amounts in the documents that are
included in the balance (see step 2) and account balance (see step 1).

4. The report calculates the realized exchange difference, which is the difference
between the valuation of the accounting documents (FIFO method) and the
account balance (step 1).
5. After that, the report checks the valid exchange rate for the given day (that
was used for the valuation of the accounting balance) and calculates the total
accounting balance in local currency (PLN).

6. The report then compares the calculated accounting balance in PLN with the
accounting balance calculated using FIFO.

7. The report then calculates the unrealized exchange difference, which is the
difference between the valuation of the accounting documents (FIFO method)
and the valuation of the accounting balance calculated on the basis of the
exchange rate for the day of the valuation.

Selection

In the General Selections group box, enter data as required.

If you do not run the report in simulation mode, the report generates batch
input sessions.

If you select the Display Document List checkbox, the report collects and
lists all the accounting documents that are included in the cash balance.

If you select the Display Incorrect Documents checkbox, the report lists all
the accounting documents the relevant data of which you changed manually
and it differs from the one the report calculated.

In the Valuation Base group box, so that the report can create and valuate
the cash account balance, you choose the base of valuation. The valuation
can be in accordance with the posting date or the currency translation date of
the accounting documents.

In the Unrealized Exchange Differences and Realized Exchange

Differences group boxes, you enter the posting key and the negative or
positive exchange difference account to post the unrealized or realized,
positive, or negative exchange differences.
In the Reversal of Unrealized Exchange Differences group box, you enter
the corresponding posting keys so that the report can post the reversed
positive or negative unrealized exchange differences.

Output

The report generates an output file that contains all the accounting documents
that are included in the balance of the corresponding cash accounts, or the
incorrect documents. You can print out the file or you can store it on a local
server for auditing purposes. By executing the report, the system posts the
realized and unrealized exchange differences and the reversal of the
unrealized exchange differences.

Activities
To access the report, on the SAP Easy Access screen,
choose Accounting Financial Accounting General Ledger Periodic
Processing Closing Valuate Country-Specific
Functions Poland Foreign Currency Valuation of Cash Account
Balances .