How does Zumzum Financials handle currency gain/losses?
Outstanding Sales Invoices, Bank Balances and Purchase Invoices would need to reflect the actual value to the company on the balance sheet.
When a transaction is posted to General Ledger, the entry is posted with the Base Currency, Company Currency and Foreign Transaction Currency. Due to currency fluctuations and the need to accurately track the value of currency transactions, the system needs to handle currency reevaluations.
Sales Invoice currency gains/losses – this is done at the time the sales invoice is fully settled. However, depending on the client’s requirements, it may be necessary to revalue the transaction when a payment is allocated to a Sales Invoice Line Item.
Unpaid amounts for Sales Invoices are not currently revalued.
Purchase Invoice currency gains/losses – this is done at the time the purchase invoice is fully settled.
Unpaid amounts for Purchase Invoices are not currently revalued.
Bank Balances are not revalued, this would be a feature that needs to be added