You use this program to create General Ledgers in alternate reporting currencies.
You typically use this for consolidation/foreign reporting requirements where, for example, a holding company in the USA trades in US Dollars and has a subsidiary that trades in Canadian Dollars. The Canadian company needs to report in US Dollars for it to be included in the consolidated financial reports of the holding company.
When you process journals in your local currency ledger using the GL Journal Entry program, the same journal is automatically created in the alternate currency ledgers in the currencies defined for those ledgers.
Using the GL Journal Entry program, you can also process journals directly into the alternate currency ledgers without processing them in your local currency ledger. Statistical journals are created in the alternate currency with an exchange rate of 1 and update the alternate currency tables at an exchange rate of 1.
The GL Alternate Currency Valuation program enables you to revalue the alternate currency ledgers based on the revaluation code assigned to each General Ledger code.
The GL Trial Balance and GL History Report reports can be generated for the alternate currency ledgers. The GL Define Financial Reports program can be used to define reports for alternate currency ledgers.
| Field | Description |
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| Reporting currency | Indicate the code of the currency for which you want to
create an alternate General Ledger. This cannot be your local currency code. If there is no currency rate history for the Reporting currency entered, then you are prompted to create a primary exchange rate for the currency. The program then enters this information into the Currency History file with a base date of 00/00/00. |
| Save | Saves the information and creates the alternative
currency information for your General Ledger for the currency
you selected. As each reporting currency is created, the program processes the entire local currency General Ledger and creates an equivalent foreign currency ledger. A separate ledger file is created for each alternate currency you define. The transactions in the alternative ledger are created based on the transaction date in the local currency ledger and the most recent exchange rate defined in the Currency History file. Each detailed transaction record for the current year is converted to an equivalent foreign currency value using the exchange rate in the Currency History file as at the date defined in the Period End Dates table of the GL Alternative Currency Setup program. History transactions from the GENHST table/file are converted (for each year on file) at the exchange rate as per the period end table date (i.e. not the transaction date). |
| Field | Description | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| Alternate Reporting Currency | |||||||||
| Reporting currency | This indicates the currency code of the alternate ledger you are currently maintaining. | ||||||||
| Reporting currency description | This indicates the description of the Reporting currency code. | ||||||||
| Rounding ledger code |
Indicate the ledger account to which rounding discrepancies must be posted. These discrepancies can arise When debit and credit entries from the sub-ledgers are converted to the reporting currencies and they do not balance. The Rounding ledger code for each reporting currency is therefore required for balancing purposes. |
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| Rounding ledger code description | This indicates the description of the Rounding ledger code. | ||||||||
| Update GL analysis |
This only applies if you used the GL Structure Definition program to structure your General Ledger codes and you selected the option: Section analysis required from the GL Structure Definition program. Select this to display the Rebuild Analysis History screen after creating General Ledgers in alternate reporting currencies. This will enable you to rebuild your General Ledger analysis history tables/files based on your existing General Ledger history and budget tables/files. If you do not select this option, then you need to use the GL Structure Definition program to manually rebuild the analysis history files after creating General Ledgers in alternate reporting currencies. (see Rebuild Analysis History). |
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| Ledger options | |||||||||
| Year selection | Indicate the number of years for which you want to
create alternate currency ledgers and history for the
Reporting currency
indicated. Thereafter, you use the Period end dates listview to define the date (within each period) up to which the currency rates apply.
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| Previous year selection | This enables you to indicate the selected previous
years for which you want to create alternate currency ledgers
if Selected previous years was enabled at
the Year selection field. You select the required years beginning with the previous year and then backwards from there for the number of years required (i.e. you cannot select the years randomly). |
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| GL Period Dates | Indicate the date, within each period, up to which the
currency rates apply. The number of years for which these period end dates can be entered depends on your selection at the Previous year selection option. These period end dates are the dates used for retrieving the exchange rate when creating transactions in the alternate currency. For example: In Period 1 of your financial year, the exchange rate for the currency (in Currency History) is 5.00 on 01/01/20xx and remains as such up to and including 30/01/20xx. On 31/01/20xx, the exchange rate for the currency (in Currency History) is changed to 5.55. If you enter the Period end date for Period 1 as 31/01/20xx, then all transactions for Period 1 are converted at the rate of 5.55. If you enter the Period end date for Period 1 as 30/01/20xx, then all transactions are converted at the rate of 5.00. This is because as at 30/01/20xx, the rate was still 5.00. |
This section describes how the GL Alternative Currency Setup program processes alternate currencies.
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The General Ledger code is located from the GENMST table and the GENALC table is created from the detail in GENMST.
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The program reads the GENTRN table for each ledger code and uses the transaction date on the GENTRN record to read the currency history file, from which it picks up the exchange rate to use.
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The program converts each transaction using the exchange rate per the transaction date and creates the GENALD table.
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Once all GENTRN records have been converted, the program reads the GENHST table.
GENHST is converted for every year on file.
If the transaction was in a previous year, then the period end balance from GENHST is used to pick up the period end date for that period. This date is used to pick up the exchange rate.
The period end balance is then calculated using the period end date found, and the GENALH table is created.
The BegYearBal on the GenAltCurHst table is calculated using the rate for the closing period of the previous year. (i.e. the program calculates the beginning year balance using the date from the previous line.)
For the first year selected on the grid, the program calculates the previous year's closing date using the closing date for that line and subtracting 1 from the year.
GENALH records are only created for the selected year.
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Access to this program can be restricted per operator group (see Security Access).
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Additional security can also be implemented in the following areas:
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Functions/Activities can be restricted:
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per operator (see Security Activities).
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per operator role (see Role Activities and Fields Maintenance).
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using Electronic Signatures (see eSignature Setup).
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Fields can be restricted:
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per operator (see Security Fields and Access).
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per operator role (see Role Activities and Fields Maintenance and Role Access Control Maintenance).
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The rates used for converting from the local currency ledger to an alternate currency ledger are independent of the buying and selling rates used when the transactions were processed.
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For alternate ledgers, the journal date (i.e. not the transaction date) is used to determine the rate at which each transaction is translated (from the rates in Currency History).
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If you delete an alternate currency and then re-add it, a rounding amount may be posted to the Forced balance GL account when the Balance function of the GL Period End program is run.
Inserting Application Help
You would typically follow this procedure to display help for the current program in a customized pane that can be pinned to the program window.
Information includes step-by-step instructions for the various functions available within the program, including a brief overview of what the program does, what setup options are required and how to personalize the program.
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Open the program for which you want to insert application help into a customized pane.
This functionality is only available for a program that has panes.
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Right-click any form field.
You can also click the triangle menu icon that appears in the title area of a pane.
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Select Insert Application Help from the context-sensitive menu.
The application help appears in a pane within your program. You can reposition the pane using the docking stickers or pin it to the program window.
Removing the Application Help pane
If you no longer want to display application help in a pane for your current program, you can simply remove it.
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Select the Close icon in the right-hand corner of the application help pane.
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Confirm that you want to delete the pane.