Tag Archives: QuickBooks Multicurrency

Differences between the actual amount received and the amount recorded in QuickBooks accounting software

Software: Intuit QuickBooks 2015 accounting software

Due to the differences in exchange rate, the amount received in the home currency bank, which has transferred from a foreign currency bank account, could be different from the amount recorded in the QuickBooks accounting software.

Assuming you transferred USD15,000 from a US dollar bank account, which is a foreign currency account, to a home currency bank account; SGD20,137.48 is received in the home currency bank account. 

QuickBooks 2015 allows up to 5 decimal places in the exchange rate between the US dollar and the Singapore dollar. The nearest exchange rate you can use for this transfer is 1USD:1.34250SGD; hence, SGD20,137.50 is debited to the QuickBooks home currency bank account. 

QuickBooks Transfer Funds

Since the amount recorded in QuickBooks (SGD20,137.50) is different from the actual amount received in the bank (SGD20,137.48), a home currency adjustment journal is needed to adjust between the home currency value of the foreign currency bank account and the amount recorded in the home currency bank account.  Pass a home currency adjustment journal to debit SGD0.02 to the foreign currency bank and credit SGD0.02 from the home currency bank.

A home currency adjustment journal is a journal to adjust the home currency value; therefore, the foreign currency balance of the foreign currency bank account remains unchanged. Whereas the home currency equivalent value of the foreign currency bank account increase by SGD0.02 and the home currency bank account has reduced to SGD20,137.48 (SGD20,137.50 – SGD0.02), which is the actual amount received in the home currency bank.

Viewing the foreign amount in QuickBooks report

Software: Intuit QuickBooks accounting software

The Accounts Receivable, Accounts Payable, Bank and Credit Card account allow setting with a foreign currency. 

From the Modify Report wizard of the list report such as General Ledger, Journals, Customer or Supplier Detail report, you can pull out foreign currency related fields such as Foreign Amount, Currency or Exchange Rate.

View foreign amount in QuickBooks

This feature allows user to compare both the base and foreign currency amount without the need to export and calculate the foreign amount in Microsoft Excel.

QuickBooks | Currency Code on Templates

Software: Intuit QuickBooks 2014

For non-multiple currencies company file, QuickBooks will follow the currency symbol set in the Regional Option of the computer; and the currency symbol will be placed before the Subtotal, Tax Total and the Total fields of the template when it is printed.

currency symbol

When multiple currencies feature has turned on, the currency code, which is set in the Currency List, will replace the currency symbol to indicate the transaction currency of the document.

currency code