Revaluation/Reinstatement of Forex Transactions

[EMANUEL]

HI,

What is the process for Month end Revaluation of foreign currency Open transactions in Receivables/Payables?

Eg. Invoice raised to a customer for USD 100 booked @rate 45=4500(INR) in India and client need to do revaluation at month end closing rate @ 46 for this open Invoice and reinstate the value at 4600(INR) and also book forex gain on this


Rgds
Emanuel

[oteixeira]

Hello.

If you are receiving more INR for the USD 100 the system will aknowledge the gain when you apply the receipt to the invoice.

Revaluation is done at GL level, not at subldger level.

Octavio

[EMANUEL]

Hi

I want to do reinstatement of the Open balances at Month end with the Closing exchange rate and not application of transactions

Rgds

[oteixeira]

Hello Emanuel.

Navigate to /Currency/Revaluation.

Use the Revaluation window to define, run, update, and delete revaluations for foreign currency-denominated balances. Revaluation launches a process that revalues the functional currency equivalent balances for the accounts and currencies you select, using the appropriate current market rate for each currency. Resulting gain or loss amounts are posted to the gain/loss or cumulative translation adjustment accounts you specify and balanced by balancing segment values. This process creates a revaluation batch containing separate journal entries for each revalued foreign currency.

Octavio