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[Arush Kuthiala]

Hi all

I wanted to see how people handle this. 

We have a situation where we have 2 legal entities, one in Canada and one in US. We do consolidations in USD. We convert the Canadian company Balance Sheet accounts at the month end rate and the Profit and Loss accounts at the transaction date. 

This leads to an issue where the reports are out of balance because the two conversions aren’t at the same rate. How do people handle this usually?

Thanks, 

Arush Kuthiala

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Arush Kuthiala
Western Computer
Toronto ON
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[David Scattergood]

Hi Arush

In the GL setup there is a Posting section and in the posting section there is the ‘Accounts for automatic transactions’ where you setup things like the GL for penny differences and the year end result. One of the posting types is ‘Balance account for consolidation differences’ and it is the account code entered here that AX uses to balance the consolidation when different exchange rates are used for the P & L and Balance Sheet.

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David Scattergood
P2 Dynamics Solutions Ltd
Corby
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[Derek Krebs]

Here is a document that will help.  Please see PDF pages 25-27 and method #2 is the more common way to report on currency gain/loss where in the Management Reporter row definition you have one row that grabs all balance sheet and income statement accounts (e,g, 1000:9999) which will net to the FX gain/loss after conversion which is all done in the GL (not the report even though you could have calc columns and rows and enter a rate in column formula).??  Feel free to email if any specific questions as have done this lots over the last 25 years consulting on these MSFT and other reporting and budgeting products.  Have a nice holiday weekend ALL.

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Derek Krebs
Sr Consultant
MSX Group
derek.krebs@msxgroup.com
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