The theoretical value (book value) of open customer transactions in foreign currencies varies over time with fluctuations in exchange rates.

To update the value of your accounts receivable and to conform to the U.S. generally accepted accounting principles (GAAP), you run the exchange adjustment periodic job. By using a new exchange rate, the job revalues the amounts that were open (not settled) on a specified date. The differences between the original posted amounts and the revalued amounts are posted in the ledger and to customer accounts as unrealized exchange adjustment transactions. Transactions that have been exchange adjusted on a more recent date are not revalued.

Before you run an exchange adjustment for a specific date, you can run an exchange adjustment simulation for the same date and method criteria and view an approximation of the potential financial impact of an actual adjustment.

As you post the exchange adjustment, you can view and print a report that shows:

  • The balances, in the original currency and the company currency (before and after exchange adjustment), of customers with exchanged-adjusted transactions.

  • The exchange adjustment amounts by customer.

  • The sums of the exchange adjustment transactions by currency.

A record is kept each time you run the exchange adjustment periodic job. You can query and view the ledger and customer transactions that were generated by the exchange adjustment.



Simulate an exchange adjustment

How to run an exchange adjustment simulation.

Perform an exchange adjustment

How to perform an exchange adjustment.

View the transactions of an exchange adjustment

How to view the transactions of an exchange adjustment.

See Also