FX Tutorial: Setup Foreign Currency

This tutorial explains how to set up foreign currencies in Accredo. The Cash Book (CB) Module is required for foreign currency.

1. Go to Navigator > Setup > Foreign Exchange > Settings.

   The Base Currency is set based on the Company's Country selected when the Company was created, and cannot be changed. Amounts shown on screen or in reports with a Bs after the name are in the Base currency.

2. Click Edit (F11).
3. Select the Foreign Exchange settings:
   • Allow Foreign Sales - select if you sell to foreign Customers (AR)
   • Allow Foreign Purchases - select if you buy from foreign Creditors (AP)
   • Allow Bank Accounts - select if you have foreign Bank Accounts (CB)
   • Use Exchange Rate Table - select if you want exchange rates to be retrieved from an Exchange Rate Table. Rates are retrieved based on CurrencyCode, Rate Type and Date. We recommend using an Exchange Rate Table if you do regular FX transactions. If you do FX transactions infrequently, you can unselect this and enter rates when prompted.
   • Revalue Fixed Rate Transactions - select if you want unallocated fixed rate transactions in AR and AP to be included in the Revaluation of Foreign Balances.
4. If you are using an Exchange Rate Table, select the Default Rate Types. The defaults available are:
   • BUY - Purchasing Rate (Purchases)
   • FIN - Financial Rate (Accounts)
   • SELL - Selling Rate (Sales)

   The defaults can be changed in FX Rate Type. The defaults are used for:

   • Default Selling - used for Foreign Sales. This is the Buy Rate from the bank.
   • Default Purchasing - used for Foreign Purchases. This is the sell rate from the bank.
   • Default Financial - used in CB.
   • Default Average - used for converting Income and Expense account classes when importing GL Batches from subsidiaries in a different base currency.
5. The Default General Ledger Integration accounts are used when you add a currency. These are related to the company Chart of Accounts. Consult with your accountant to set the correct accounts for your Chart of Accounts. See FX Settings for more details.
6. Click Save (F9).
7. To add Foreign Currencies, go to Navigator > Setup > Foreign Exchange > Currencies.
8. Click Insert (F4). Select the Currency to add, and set a Minimum Rate and Maximum Rate. These are used to prevent data entry errors such as decimal place errors. You can also specify decimal places for Cost and Sell Prices. You cannot remove currencies once added, but you can set them to Inactive. OK (F9). Repeat for each currency required.

Entering Exchange Rates

1. If you are using an Exchange Rate Table, you can enter the Exchange Rates. Go to Navigator > Task > Foreign Exchange > Enter Exchange Rates. Click Edit (F11). Enter an expiry date and the rates. Click Save (F9).