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Balance Sheet > Amounts Incorrectly Translated from Foreign Currency to Base Currency, especially after a Currency Revaluation

Written by
Joyce Anne Simpao
Published on
November 22, 2023 at 12:43:59 AM PST November 22, 2023 at 12:43:59 AM PSTnd, November 22, 2023 at 12:43:59 AM PST

Scenario

Users customizes Balance Sheet to include the Amount (Foreign Currency) column and the system shows below behavior: Amount in Foreign Currency x Month-end Ending Rate* Amount in Base Currency

Note:By default, the Current Rate.

Solution

The ending balance of an account should NOT be multiplied directly against the month-end exchange rate.

The ending balance must only be adjusted by the net currency revaluation amount. Also consider the fact that there are transactions which require no adjustment/translation.