Hi there,
I noticed an issue with AX in dealing with Foreign Currency and want to know what is normally done with this, because it seems like a huge problem.
We are a Canadian company who sells to the US a lot, let's say we have an invoice posted for $100.00 USD, let's say the exchange rate is 1.25 at the time of posting. The transaction that occurs in AX would be...
Accounts Receivable
Amount in Transaction Currency: $+100.00 USD
Amount in Reporting Currency: $+125.00 CAD
When that person pays the invoice lets say the exchange rate changes to 1.20, when paid the following entry takes place in AX...
Accounts Receivable
Amount in Transaction Currency: $-100.00 USD
Amount in Reporting Currency: $-120.00 CAD
Now our Accounts Receivable is +$5.00 in our reporting currency permanently. How does one adjust for this difference? The proper entry to fix this would be to Credit Accounts Receivable and Debit Realized Foreign Currency Gain/Loss, but with thousands of transactions there is no way this is done manually. Is there a way to automate this process, and if so what is the way to do this and are there any good articles/blogs/postings on setting this up?
Thank you for your time,
JordanH
