When a transaction is complete, you must calculate the exchange rate adjustment forecasts for open transactions for advance holders. The difference in exchange rates is calculated on the date that the period ends.

The calculation is based on parameters that you customize in advance in the General ledger and Accounts payable modules.

When you calculate an unrealized exchange rate adjustment forecast for advance holders (revaluation of open transactions at the end of the period), the calculation is based on the general ledger accounts that were set up in the Exchange ratesform.

When you calculate a realized exchange rate adjustment forecast to settle transactions for an advance holder, the Accounts payable parameters are used.

1. Click Accounts payable> Setup> Parameters.

2. Click the Advance holderstab.

3. In the Realized profitfield, select the general ledger account to post the exchange rate adjustment profit when transactions are settled for an advance holder.

4. In the Realized lossfield, select the general ledger account to post the exchange rate adjustment loss when transactions are settled for an advance holder.

5. If the exchange rate adjustment forecast is a profit, in the Revenue codefield, select the income code for the exchange rate adjustment transaction when transactions are settled for an advance holder.

6. If the exchange rate adjustment forecast is a loss, in the Expense codefield, select the expense code for the exchange rate adjustment transaction when transactions are settled for an advance holder.

7. Press CTRL+S or close the form.