Setting Up AAIs for the Rounding Account for Foreign and Alternate Currency Receipts

AAI item R8 defines the foreign and alternate currency receipt account used for rounding when you post foreign and alternate currency receipts.

When you apply a foreign or alternate currency receipt to an invoice, the potential exists for a slight rounding difference. A rounding difference can occur when the system is converting amounts between a foreign and a domestic currency or between an alternate and a domestic currency. The rounding difference, which is immaterial, occurs when the domestic currency amount applied to an invoice is different from the domestic currency amount of the receipt.

To record rounding differences, the system creates an offset journal entry in the rounding account when you post the foreign or alternate currency receipt.

The sequence in which the system searches for AAI item R8 is:

1. The system uses R8 that is associated with the company entered on the receipt.

2. The system uses R8 for company 00000.