How do I reconcile foreign currency accounts?

Summary

This article explains how to reconcile any Sales Ledger or Purchase Ledger account, or Nominal Ledger centre where they need to be held in a foreign currency.

More Information

Where you deal with customers or suppliers in a foreign currency, or have a bank account in a foreign currency, it is important to be able to see both the value in your home currency and in the foreign currency, however all the accounting in Platinum is done is your home currency. Reconciling the accounts is very difficult if you cannot see the details in the applicable foreign currency.

Platinum allows you to translate between currencies easily using <Alt+E>. Click here to set up and maintain the currency rates, and here to add a new currency.

Both the home and foreign currency values are stored for any account or centre flagged with a foreign currency code, with the currency values being calculated from the exchange rate set for the currency at the time of posting.

Viewing, Amending and Reconciling

• From anywhere that you have the relevant account or centre on the screen, press <Alt+E> to pull up the Currency Exchange option.
• At the bottom of the window, you will see the account or centre shown.
• Click twice on the account or centre.
• Transactions for the past 12 months are displayed in both your home and foreign currencies.
• Check the foreign currency amounts at this point against the original documents, statements or bank information, or any other documentation that you have available.
• Amend the values if necessary.
• Click the [Value Correct/Unverified] button to mark the 'Amount' as checked and verified.
• Click the [Balance Correct/Unverified] button to mark the 'Balance' as checked and verified.

Both the 'Amount' and the 'Balance' figures need to be verified as correct. If you mark an item as checked and verified when it isn't, you can simply press the relevant button again to reverse the process.

• If you want to mark more than one 'Amount' as correct and verified, press <Shift+F3> and all the items prior to the one you have selected will be marked as correct and verified. You can then mark the 'Balance' as correct against the last item of your selection.

Note: This should be a regular process that you carry out on your currency accounts to keep them accurate.

See also

• How do I set up currency translation?
• Dealing with Currency Accounting in Platinum?
• How do I View an Amount in a Different Currency?
• How do I add a new currency?
• How to Deal with Sales to EU Countries and V.A.T. Reporting
• How do I Deal with Purchases from EU Countries and V.A.T. Reporting?

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Keywords AND Misspellings

reconcile, reconciling, currency, sterling, euro, dollar, yen