Re: [SL] Cross currency invoice entry

[Dr E. L. <el...@li...>]

Ed,

on 1/25/07 1:10 PM Ed W said the following:
> Dr Eberhard Lisse wrote:
>> The solution is to take the rate you get for buying the USD and to stick
>> the slip to the invoice which you file.
>>
>> I have this occasionally when I pay by credit card. I take the amount
>> that the credit card debits from my account andit is only one simple entry.
>>   
> 
> You said exactly this already - either I don't understand what you are 
> saying or you missed my reply?
> 
> The basics here are that:
> 
> a) The invoice has to get entered today in foreign currency

No, it does *NOT*. Neither today, nor in a foreign currency, nor via AP.


> b) I might not pay the bill for 1-6 months time, hence I won't have an 
> actual rate for it until after a year end of tax quarter.  Therefore I 
> need to account for it on an accrual basis

No, you don't.

> I already entered my first invoice in using the foreign currency, but I 
> am unsure how to pay it... There is a rate option in the payment page 
> when paying a foreign currency invoice, but again it pulls out the 
> generic rate for today (entered using a CRON job) and so again we will 
> have a small FX deviation - I'm just not quite sure how to enter this
> 
> Additionally I am not sure what is going to happen to the cost of goods 
> once I enter the payment - will these be affected or is the rate used 
> only to enter an FX accrual for me automatically?


Since it does not involve local taxes you can do it with a GL entry when
you (eventually) pay.

el