axis diplomat 2020 Modules

Multi-Currency

 View PDF

The document below is not the latest version. To see the latest version, please click here.

Allow both sales and purchases to be made in multiple currencies.

The Multi Currency module

A separate sales or purchase ledger is maintained for each currency. The standard sales and purchase ledgers are always in the base currency, matching the Nominal ledger (usually Sterling).

The Multi Currency module allows customers to be invoiced in a currency other than the base currency, and for the balances on their accounts to be maintained in that currency. These balances are transferred to the nominal ledger in the base currency and are adjusted from time to time to reflect the current exchange rate in accordance with Statement of Standard Accounting Practice, SSAP 20. Suppliers are handled in a similar manner.

Differences between the base currency equivalent of invoices at the time they are entered and the base currency equivalent of the matching payments when they are made or received are automatically posted to an Exchange Variance profit and loss account on the Nominal Ledger as part of the period end procedures. Each currency ledger can have its own Exchange Account if required.

For each ledger the currency description, currency symbol, and default exchange rate may be set up.

All values on the customer or supplier accounts are held in the currency of that ledger, but may be converted to the base currency for reports such as the `Debtors Schedule', at either the current exchange rate or at the exchange rate of the original transaction.

Order Processing and Invoicing

All transactions associated with a currency customer or supplier are in the currency associated with that customer or supplier. For currency customers, this includes quotations, sales orders, invoices, credit notes and cash received.

The same exchange rate applies to every item on an invoice or credit note. Invoices and credit notes are always printed in currency. Where an order is partially released on several occasions to generate a number of invoices from a single sales order, each invoice may have a different exchange rate.

 

Stock Ledger

Prices and costs held on stock records are always in the base currency, being converted to the required currency at quotation/order/invoice entry time.

However, Currency Price Lists allow stock item prices to be maintained at an appropriate currency value, which does not fluctuate with the exchange rate. Using this mechanism, an item, for example, can be priced at £14.99, $19.99 and €21, irrespective of the prevailing exchange rates.  As product discounts may also be set for a particular currency, the parameter Use currency price list discount when zero (Currency Price List group on the Customer Stock Pricing tab in Maintain Stock Ledger Parameters) is used to control whether or not a discount of 0% on the currency price record should be enforced in place of any discount set on the master stock record.

Values on stock transactions are always in the base currency; goods received from non base currency suppliers are revalued in the base currency to provide Current and Actual costs using the exchange rate in force at the time that the actual cost is confirmed.

In addition, customer-specific and supplier-specific pricing options are supported in currency - Customer/Stock price list entries for currency customers are in that currency and, similarly, supplier price list entries for currency suppliers are also held in those supplier's currencies.

Nominal Ledger

All transactions to be posted to the nominal ledger are created in the base currency, the exchange rate entered for the transaction being used where appropriate. The control account for the currency ledger in the nominal ledger is therefore held in the base ledger: each time a currency ledger tranasction is posted, a transaction for the sterling equivalent of the total amount posted is created.

When the sales or purchase ledger is period-ended, the current balance on the currency ledger is converted to sterling at the current default exchange rate for the ledger. This value is compared with that of the control account for the ledger and a transaction raised against the exchange variance account for the difference if necessary. A similar calculation is carried out and reported whenever the draft accounts are printed, but no transaction is actually raised.

Within the Cash Book module, currency bank accounts and petty cash accounts may be created. A function is also provided to re-value currency Cash Book accounts - it will calculate the base currency account balance of each nominal currency bank and petty cash account in use based on the current exchange rate and, if required, generate a pair of journals between the account and the exchange variance account for the corresponding ledger.

 View PDF

Call Back
This site uses cookies. By continuing to access this site you are accepting the use of cookies by this site.
Read more about cookies...
OK

Cookies are small text files stored on your device when you access most websites on the internet.

This Website uses cookies in order to make the Website easier to use, to support the provision of information and functionality to you, as well as to provide us with information about how the Website is used so that we can make sure it is as up to date, relevant and error free as far as we can. Further information about the types of cookies that are used on this Website is set out in the box below.

By using this Website you agree to our use of cookies. You can choose to restrict or block cookies set on the Website through your browser settings at any time. For more information about how to do this, and about cookies in general, you can visit www.allaboutcookies.org. Please note that certain cookies may be set as soon as you visit the Website, but you can remove them using your browser settings.

However, please be aware that restricting or blocking cookies set on the Website may impact the functionality or performance of the Website, or prevent you from using certain services provided through the Website. It will also affect our ability to update the Website to cater for user preferences and improve performance.

We don’t sell the information collected by cookies, nor do we disclose the information to third parties, except where required by law (for example to law enforcement agencies).

We may sometimes embed content from 3rd party websites such as YouTube. As a result, when you visit a page containing such content, you may be presented with cookies from these websites. We do not control the dissemination of these cookies and you should check the relevant third party's website for more information.

Cookies We Use

Cookie Description
CookieConfirm The presence of this cookie is used to remember the fact that you have confirmed that you are happy to accept cookies
ASPSESSIONIDxxxxxxxx This is a Session Cookie (session cookies are temporary and are erased when you close your browser). It identifies you from one page to the next and is used, for example, to keep track of your logged-in status.
UserID, account, password These cookies are used to remember your login credentials for when you next visit our website. They are only created if you choose the “Remember Me” option on the login page.
_utma, _utmb, _utmc, _utmz These are cookies created by Google Analytics and are used to provide us information on which web pages are the most popular, and the most popular search terms used by visitors arriving at our site.