Setting Up AAIs for Realized Gains and Losses on Alternate Currency Receipts

The gains and losses for alternate currency receipts are recorded separately from standard gains and losses and are handled by using different accounts and AAIs.

These AAI items define the accounts that the system uses for realized gains and losses on alternate currency receipts:

• RYxxx: Alternate currency realized gain.

• RZxxx: Alternate currency realized loss.

The system creates an alternate currency gain or loss entry as follows:

• Creates an entry in the gain account if the amount derived by converting from an alternate currency directly to a domestic currency is greater than the amount derived by converting from an alternate currency to a foreign currency to a domestic currency.

• Creates an entry in the loss account if the amount derived by converting from an alternate currency directly to a domestic currency is less than the amount derived by converting from an alternate currency to a foreign currency to a domestic currency.

The hierarchy for AAI items RY and RZ is the same. This example shows the sequence in which the system searches for AAI item RY:

1. RYxxx. The system uses RYxxx that is associated with the company entered on the receipt, where xxx is the transaction currency of the receipt.

2. RYxxx. The system uses RYxxx for company 00000, where xxx is the transaction currency of the receipt.

3. RYxxxx. The system uses RYxxxx that is associated with the company entered on the receipt, where xxxx is the GL offset on the invoice.

4. RYxxxx. The system uses RYxxxx for company 00000, where xxxx is the GL offset on the invoice.

5. RY. The system uses RY that is associated with the company entered on the receipt.

6. RY. The system uses RY for company 00000.