Exchange Gain/Loss Journals displaying in Accts Receivable Report

Wendy Jones
Wendy Jones Member Posts: 8
edited January 18 in Accounts Hosted

Hi there, does anyone know how I should be processing FX Exchange Gain/Loss journals at End of Year so that they do not remain on the Accounts Receivable ledger, when there is no longer any balance outstanding?

The attached example FX Exchange Gain/Loss journal was processed on 31/03/2021 and then reversed on 01/04/2021, but although they should somehow contra each other out, they have are still appearing in the A/R Aging Zoom, and causing the old inactive customer to appear on the Accounts receivable report years later ..even though there is no balance outstanding.


How can I contra these payments off so that they will disappear from Accts receivable reporting?

Thanks!

Answers

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,314 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited January 19

    Hi Wendy

    If Multicurrency is enabled, RA/RAH automatically creates this Exchange Gain/Loss Expense account & records a GJ to here for any difference, once payment is recorded against the invoice.

    If this difference is now showing on the A/R report, it may be that it was manually entered/edited.

    Normally, with unallocated Credits, you can go into Receive Payments & see the outstanding balance & matching Credit amounts, then apply them to clear the A/R report:

    ... however I'm not sure if this is the same for realised Forex gains/losses.

    If you enter the Customer/Job Name in Receive Payments, does it display for allocation there ?

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    [email protected]

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Wendy Jones
    Wendy Jones Member Posts: 8

    Hi Shaz,

    Thank you for your thoughts. Unfortunately this situation arose as a result of processing a manual journal against the end of year balance that was still outstanding against this customer, and was required so the open balance outstanding reflected the true value in the home currency in our EOY accounts. Unfortunately, neither the debit or credit journal transactions appear in the receive payments screen, so I cannot apply the credit.


  • Wendy Jones
    Wendy Jones Member Posts: 8

    Hi @Tanvi_kataria

    Thank you for your response to my question regarding Foreign Exchange adjustments.. Do you have any idea how to stop these journals from appearing on my accounts payable and accounts receivable reports? They continue to appear even though the FX transaction has been reversed, and the balance is NIL. ??

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,314 Reckon Accounts Hosted Expert Reckon Accounts Hosted Expert
    edited January 22

    @Wendy Jones

    These are automatic system entries so you can't prevent them but you can either delete them or remove your manual entry & reversal instead.

    (I'd suggest copying your Company File to test, or taking screenshots of these GJs first !)

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    [email protected]

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Wendy Jones
    Wendy Jones Member Posts: 8

    Thank you Shaz. The automated transactions do not cause a problem. HCan you tell me how you adjust your foreign currency outstanding balances at end of year to ensure they represent the FX rate as at the last day of the financial year?