Thanks to Banana Multi-currency accounting, you can easily work on an international level, in the language you want and with the foreign currency accounts you need. Again, the structure is that of spreadsheets, similar to Excel and with all the resources of the other Banana applications. The functions are based on the Double-entry accounting methodology. Should you need to manage VAT you can activate the VAT features at any time.
It will prove particularly interesting for those who have foreign operations, for associations that generally operate all over the world or run projects and simply for those who require accounts in foreign currency in their bookkeeping.
The multiple functions of Multi-currency
- Manage as many accounts as you wish in foreign currency
You don't need to have separate managements to handle accounts in other currencies. In the same Chart of Accounts used for your accounting, enter the accounts in foreign currency, set the exchange rates in the exchange rate table for exchange differences and you are ready to transact.
- You can set any currency, standard or freely defined curdrency codes (to use any digital currency).
- Decimals for currencies can be set from 0 to 28. Generally 2 decimals are used, but the accounting can be set to use 0 decimals, or 3 decimals (Tunisia) or more if it is used for crypto currencies. 9 decimal (Bitcoin) or 18 (Ethereum)
- Same methodology as double-entry accounting
You will work with the same double-entry accounting method, therefore register the debit and credit and you will have all the reports and details of a professional accounting.
- Automatic exchange rate calculation
The moment you create a foreign currency account, you will not need to calculate the equivalent in foreign currency manually, the program automatically calculates the exchange rate. You can enter the exchange rate either by updating the exchange rate in the Exchange rate table or directly in the Transactions table in the Exchange rate column.
- Transactions in different currencies
You are able to enter all necessary cases of transactions in foreign currency, including transfers and those that do not include the basic currency. This allows for complex operations to be carried out in your accounting.
- Complete reports with balance sheet, income statement
Accounts of both the balances in foreign currency and of the equivalent value in the basic currency (national currency) will be displayed in the Balance Sheet and Income Statement.
If you have foreign business relationships and you need to present the Balance Sheet and Income statement in a second currency, this is possible without creating separate reports in Excel, just go to the Accounts table, select the Currency2 tab and you will have the display of all the accounts in the second currency and as well as in the basic currency.
- Watch the video tutorial that shows how to create and print the Enhanced Balance Sheet with groups.
- Account cards with amounts in foreign currency and basic currency
The account cards can be viewed with the columns of the amounts in basic and foreign currency. This allows you to evaluate the balances in both currencies.
- Free exchange rates in the Exchange table
You can set the exchange rates for various needs: variable exchange rates, fixed exchange rates, different exchange rates for the same currency, for example to manage investments and without affecting accounts with the same currency.
- Automatic exchange rate differences
When you need to calculate the exchange rate differences, just update the exchange rate in the Exchange rate table and use the relative command; the differences will be entered in the Transactions table automatically.
- Budgets are also possible with the Multi-currency
In the Multi-currency accounting file you can also budget the liquidity of the accounts in a foreign currency, as well as all the budgets related to the Balance Sheet and Income aspects. You can print Budgets and forecast reports, or combine them, with the columns of the Budget, Balance Sheet and relative variations.
- Automatic check for unrecorded exchange differences
When using the Check Accounting command, you will no longer have unrecorded exchange differences, because if they exist, they will be reported. This function is particularly important to avoid having exchange rate differences in the opening balances when you create the new year.
- Financial statements, economic accounts and reports, also in a second currency.
Multi-currency accounting, based on the double entry has many other characteristics identical to the double-entry accounting, which you can refer to on the following page: