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Differences in the opening balances

When, in the preceding year, the exchange rate differences have not been calculated, the program signals, in the New Year, a difference in the opening balances.

In order to resolve this problem, there are two possibilities:

If the preceding accounting year has not yet been audited, calculate the exchange rate differences in the preceding year,
If the preceding year has already been closed and revised, you must proceed with an adjustment of the opening balances of the new year:
  • Open the file of the New Year
  • Insert in the Assets or the Liabilities (Accounts table), according to the situation, a new account Unrecorded Exchange rate differences or record the amount in the 1090 Internal tranfers account (as in the following example)
  • In the Opening Currency column, insert the amount corresponding to the exchange rate difference.

  • At 01.01, the exchange rate difference account has to be put to zero by means of a transaction (Transactions table), using the account related to the exchange rate differences (Exchange rate profit/loss) of the profit/loss statement as its counterpart.

After the transaction to arrange the exchange rate differences has been made, the account that has been used should have a balance of zero, or equal to the amount corresponding to the balance prior to the transaction.

 

 

 

 

 

 

 

 

 

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