Background on Accounting Seed FX Features & limitations
Please see the Accounting Seed documentation for details of their features:
FX for Accounting Seed provides the following additional features:
Open Invoice Revaluation
When the Period is closed the The ‘AP Aging History’ and ‘Billing Aging History’ are updated.
Setting up Multi-currency
To setup multi-currency in Accounting Seed please follow these instruction:
In addition to the Accounting Seed setup, for FX for Accounting Seed to work there are a couple of additional setup steps:
- Foreign Currency Bank Accounts
Each Bank Account has a separate GL Account, and for Foreign Currency Bank Accounts you need to set the ‘Currency’ field to the currency of the bank.
(NB: You may need to update the Page Layout to see the Currency field)
- On the first day of each month, set the Exchange Rates. They must be dated the 1st of the month, and most people leave these exchange rates unchanged for the whole month.
- When you first run the FX Revaluation you may find a discrepancy between the FX Balance calculated, and the actual balance in the bank. These are due to incorrect opening balances or adjustments.
NB: Journals in the Ledger Base Currency will only affect the Base Balance (and not the FX Balance) but Journals in the FX Currency affect both the Base and the FX Balances
Importance of Closing the Period
When you close a Period in Accounting Seed a couple of important things happen:
- The ‘AP Aging History’ and ‘Billing Aging History’ are updated.
These objects are used for retrospective Aged Creditor & Debtor reports, and we use these to determine which Payables and Billings were outstanding at the Period end and how much.
- The ‘Financial Cube’ is used to keeps track of Period Balances on each GL Account and is updated every time you post a transaction.
But the ‘Opening Balance’ is only updated when the previous ‘Period 12’ (end of year Period) is closed. We use the ‘Financials Cubes’ to workout the balances on the Bank Accounts.
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