Change in Estimate and Change of Functional Currency Capability - Support Advisory

Issue

Customers need the ability to record a Change in Estimate or accommodate a change of Entity which results in a change to the functional currency of a deal.

Recommended Solution

Functionality specific to change in estimates (e.g., change in RCHP, change of intentions on EOT options or change in estimated payments on account of residual value guarantees, or asset retirement obligations) is not currently on the Product Roadmap and modifications will need to be performed.

We have implemented the Modify Deal Import Workbook (MDIW) with automatic classification and booking to alleviate some of the manual effort involved.

When the RC EOT Option and/or RCHP is changing, a modification will need to be recorded in every scenario except if you are changing to a renewal and are ready to record that renewal. Instead of a modification, you may record the renewal with all details and LeaseAccelerator will remeasure the ROU Asset & Liability when you record that renewal.

In order to accurately account for a change in functional currency, you must modify a deal and change the Entity prior to classifying and booking the modified deal.