Multi Currency / Accounts Payable

9.0. Accounts Payable in Foreign Multi Currency

Making a USD deposit to Supplier





Alert
STEPS:
  1. AMOUNT enter 1,000 USD
  2. BANK RATE check if it’s 1
  3. PAYMENT AMOUNT check for 1,000
  4. Click ADD
  5. Close module

Alert
STEPS:
  1. Click REPORT activity
  2. Click AR/AP
  3. Click STATEMENT OF ACCOUNT module
  4. BUSINESS PARTNER select Interesting Supplier Pte Ltd
  5. TYPE select PURCHASE
  6. Click REFRESH You should be able to see that there is a USD1,000 deposit in the list
  7. Close module

Enter a Foreign Currency Supplier Invoice (example Malaysia)


Alert
STEPS:
  1. Click PURCHASE activity
  2. Click SUPPLIER INVOICE module
  3. Click NEW
  4. DATE enter 15 Feb 12
  5. BUSINESS PARTNER select Interesting Supplier Pte Ltd
  6. CURRENCY select MYR
  7. EXCH RATE check that it is 15.397
    Details
  8. ITEM create new and select  - code
  9. DESCRIPTION enter Lump Sum Charges
  10. QTY enter 1
  11. UNIT PRICE enter 500,000
  12. TOTAL (SGD) check that amount 7,698.50after GST
  13. Click ADD
  14. Close module

Making Payment to Supplier with earlier Deposit


Alert
STEPS:
  1. PURCHASE activity
  2. Click SUPPLIER INVOICE module
  3. Click NEW
  4. DATE enter 15 Mar 12
  5. BUSINESS PARTNER select Interesting Supplier Pte Ltd
  6. MODE select USD Bank
  7. EXCH RATE check for 1.288
    Details
  8. Click IMPORT
  9. Select invoice with MYR 535000
  10. Click ADD SELECTED ROW
  11. Select Deposit
  12. Click ADD SELECTED ROW
  13. BANK RATE enter 0.01537
  14. PAYMENT AMOUNT check 10,591.16
  15. TOTAL (USD) check for 8,222.95 amount
    The total amount should be 7,222.95 after deduct 1000
  16. Click Update

Understanding the Double Entries


Alert
STEPS:
  1. Select the previously created payment
  2. Click EDIT
  3. Click GL
  4. Line 1, TRADE CREDITORS
  5. Line 2, EXCHANGE GAIN/LOSS
    System generated exchange gain or loss posting. No exchange rate involved as
    the posting is in SGD.
  6. Line 3,
    BANK Amount drawn from the bank, rate is used @ 1.288
  7. Line 4, TRADE CREDITORS deposit payment
    The deposit amount is convert @1.288
  8. Close GL module
  9. Click UNDO
  10. Close PAYMENT module







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