Multi-currency accounting

Multi-currency accounting is based on the double-entry accounting method and can also manage accounts and transactions in foreign currencies.

Many topics of the multicurrency accounting are the same as the double-entry accounting. In order to find missing lessons or in-depth information, we advice you to consult our internet pages on the Double-entry accounting.

Characteristics 

• Manages the accounts also in foreign currency.
• Calculates the conversion automatically, based on the exchange rate inserted in the Exchange rate table
• Calculates the exchange rate differences automatically
• Offers Balance Sheets and Profit and Loss Statements in a second currency as well.

In order to change from a double-entry accounting file to a multi-currency accounting file, check the Convert to new file command

Information

Chart of accounts, file properties and exchange rates table
We suggest to choose one of the already configured examples and to personalize it according to your needs. Please note that the chart of accounts must include the account for profit and loss from exchange rate variation and there must be accounts in foreign currencies.

• Setup the chart of accounts
• Groups and subgroups
• File properties - foreign currencies tab
• Setup the Exchange rate table

Transactions
Accounting transactions must be entered in the same way as the double-entry accounting transactions

• Different transactions' types
• Entering exchange rate differences

Printouts

• Account cards
• Journal
• Enhanced balance sheet
• Enhanced balance sheet with groups
• Accounting reports

Conversion

In order to add multicurrency features to a double entry accounting file, please visit the Convert to new file page.

If you want to change the basic currency of an existing accounting file (for example if your accounting file is in EUR and you want it in USD), proceed as follows:

• Save the file under a different name
• In the File properties
  • Indicate the new basic currency
  • Delete the reference to the previous year file
• In the Exchange rates table enter the exchange rates referred to the basic currency
  • If there are many transactions to be converted, in the exchange table you can enter intermediate exchange rates (for examble for each month, indicating the beginning of the month's date). The program will use the historic exchange rate in the transactions.
• In the accounting plan
  • Replace the old currency with the new one
    You can use the Find and Replace function also (selected area only)
  • If there are opening balances, you need to re-enter them in the new currency
  • Also the Previous year balance, budget and other columns must be converted
• In the Transactions table
  If there are trasactions, you need to correct them row by row:
  • For those transactions that are already in the right currency, with the F6 key the program recalculates the amount in the new basic currency.
  • For other transactions you need to enter the right amount tin the basic currency and then press F6
• In the Budget table
  Proceed just as in the Transactions table
• Use the Check accounting command, fix possible errors, and keep using the Check accounting command until there are no more error messages.