Post exchange rate fluctuations

Companies issuing invoices in a foreign currency, for example GBP, can also manage these invoices in the Accounting module. For this purpose, the corresponding accounts must be set up in the foreign currency. For detailed information, see Create an account.

The Accounting module only works with the base currency configured in the system. Due to currency exchange rate fluctuations, there can be a difference between the converted amount posted at the time of ordering (open item) and the amount posted at the time of payment. To counteract these fluctuations, the system retrieves once a day the current foreign currency exchange rates as published by the ECB and applies them automatically, so that it always works with the most up-to-date information. The Foreign currency wizard allows to post this difference automatically.

Prerequisites

• A fiscal year has been selected, see Select fiscal year.
• The corresponding personal and impersonal accounts are set up in the foreign currency, see Manage accounts.
• The corresponding revenues and expenses accounts to book exchange rate differences are set up in the base currency, see Create an account.

Procedure

Accounting > Book > Tab POSTINGS

1. Click the [EDIT] button in the header above the postings list.
   A context menu is displayed.

   

2. Click the Balance carried forward... menu entry in the context menu.
   The Foreign currency wizard window is displayed.

   

3. Click the Fiscal year drop-down list and select the appropriate fiscal year. All available fiscal years are displayed in the list.

4. Click the Range of accounts drop-down list and select the applicable option. The following options are available:

   • Open items debtors and creditors
     Select this option to search for open items both in debtors and creditors accounts.
   • Open items debtors
     Select this option to search for open items in debtors accounts only.
   • Open items creditors
     Select this option to search for open items in creditors accounts only.

   • Individual
     Select this option to enter a self-defined account number range. When selecting this option, the additional From and To fields are displayed.

     

5. Click the button and select the desired date to post the difference.

6. Click the [CONTINUE] button.
   The Account selection drop-down list is displayed.

   

   If no accounts within the selected range and fiscal year have been found, the No accounts found notice is displayed.

7. Click the Account selection drop-down list and select the checkboxes of the applicable accounts. All available accounts are displayed in the list.

8. Click the [CONTINUE] button.
   The Successful. (Number) exchange rate differences successfully posted. pop-up window is displayed. The exchange rate differences have been posted in the corresponding revenues or expenses accounts and are displayed as new postings in the postings list.

   

9. If the automatic posting is not displayed in the list, press F5 to initialize the Core1 Platform and to update the postings list.
   The exchange rate difference posting is now displayed in the postings list.