BCRMC Step 5

If this is your first accounts receivable transaction, review the settings on the Configure Multicurrency Settings screen.

These settings are usually established when you initialize Costpoint Multicurrency. Your company's functional currency (in this example, United States dollars) is displayed in the Functional Currency field in the Currency Settings block. The default transaction currency should be the currency that you most frequently use as your billing and accounts receivable currency. Though this invoice will be transacted and paid in Japanese yen, you should not enter JPY in Default Transaction unless most of your foreign currency transactions occur in yen.

In Default Rate Group, select the group you created in step 4, but you should also confirm that the currency relationships you need (for this example, yen to dollars and dollars to yen) exist in that rate group. The settings for overriding rates and computing gains/losses are extremely important. If you select the Allow users to override exchange rates check box, users can override the rates entered on the maintenance and rate entry screens. If allowed, this override can occur in screens such as:

• Manage Accounts Payable Vouchers screen (to edit currency of an A/P voucher)
• Edit Voucher Payment Status screen (to edit currency to pay an A/P voucher)
• Manage Standard Bills screen (to edit the billing currency)
• Manage Cash Receipts screen (to edit a cash receipt)

Unrealized gains and losses are calculated at each period end but can be posted in one of two ways. The Net Change method posts each period gain or loss at the end of the period. The ITD Balance (Inception to Date Balance) method posts the running total of gains and losses and reverses that posting in the following period.