Currency Codes

The currency codes provide the ability to post to separate General Ledger Accounts setup in Default Accounts based on currency, and also to allow for the varying currency exchange rates on Inventory Sales and Purchases.

Currency information can be added and deleted in the Currency Code window in the "General Ledger" parameters on the Accounting tab of the Configure System Settings.
An operator must be assigned a Security Role that allows permission to the Accounting - Currency Code in order to access this table.

Separate Bank Accounts:
For example, your firm may have both an American and a Canadian bank account, in order to pay American suppliers in U.S. funds and Canadian suppliers in Canadian funds. All payments received and issued will be coded by currency, to ensure that the correct bank account is impacted.

Separate Accounts Payable Ledgers:
When setting up the vendors, determine the typical currency required to pay that supplier. Both an American Accounts Payable ledger and a Canadian Accounts Payable ledger may be retained by currency in the in Default Accounts.

When paying invoices, computer checks are issued by currency in separate check runs. This ensures that a supplier receives the correct amount, even if the supplier has issued invoices in more than one currency.

Separate Accounts Receivable Ledgers:
When setting up your customers, determine the currency in which the customer will be required to pay.
Both an American Accounts Receivable ledger and a Canadian Accounts Receivable ledger may be retained in the Default Accounts. When receiving payment, the currency is checked to ensure that Canadian and American deposits are directed to the right bank account automatically.

Note: There are several methods of achieving separate Accounts Receivable accounts in the General Ledger. If separation based on something other than currency is required, contact Texada Support to discuss this further.

The following currencies are setup in the Currency Codes tables:

Additional currency codes can be entered in Add mode as follows:

SEQ

Accept the next available sequence number to track the records in the table.

CODE

Type in the one character code to represent the currency on screens and reports.

DESCRIPTION

Type in the description or country for the currency.

EXCH RATE

Enter the exchange rate if applicable.
To adjust the Exchange Rate on an existing Currency, in Change mode type in the new rate.
e.g.
Canadian - U.S. exchange 1.4
Canadian - Australian exchange .92

Currency Exchange:

A Standard Currency code for your firm is defined in the Company Information, so that the exchange rate assigned to other currencies is in proportion with your company currency.

The currency exchange rate is used for Inventory Purchases and Sales to ensure Inventory value is maintained correctly in the General Ledger.
To include this exchange rate in Inventory Purchases and Sales, enter the current exchange rate for the currency, and contact Texada Support to activate the feature Support Application Parameters, to automatically post the Currency Exchange, Duty/Brokerage and Freight costs to the G/L.
The G/L account to be used in any currency exchange adjustment is assigned in Default Accounts.

Any Payments entered against A/R or A/P Invoices do not require currency exchange adjustments. Because the payments default to the same currency as the original invoice, they can be deposited in the appropriate bank for that currency without any exchange adjustment.

Any bank money transfers from one currency to another are done with Miscellaneous G/L Journals. The below example shows a transfer of U.S. funds, when the exchange rate in Currency Codes is set at 1.4, but the actual exchange rate when the transfer is done has changed to 1.39.

     ACCT 1001 - U.S. Bank               Credit $5000.00
          2500 - U.S. Exchange Accrual   Credit  2000.00(rate = 1.4)

          1000 - Canadian Bank           Debit   6950.00
          5000 - Gain/Loss U.S. Exchange Debit     50.00(loss because current rate = 1.39)
 

POSTAL/ZIP FORMAT

Valid Postal or Zip code information can be made mandatory in the "Bill To" and/or "Ship To" information on documents as controlled by the Required Document Information in the Company Contract Parameters.

When applying to the "Bill To" address, the Postal or Zip code must match the format per the customer's currency setup in Customer Information.
When applying to the "Ship To" address, the Postal or Zip code must match the format of any currency code, to allow for shipping out of country.

• MASKS:
• The mask format for the Zip code for the U.S. currency code should be entered as 99999?????
  This requires 5 mandatory numbers plus up to 5 optional alpha/numeric characters, as the ? represents a "wild character".
  If no mask format is entered for the 'U' currency, the mask automatically assumes 99999?????
• The Canadian mailing Postal code mask format should be entered as A9A 9A9 to force the correct alpha numeric combination.
  If no mask format is entered for the 'C' currency, the mask automatically assumes A9A 9A9
• When this processing is activated, all other currencies assigned to customers must carry a mask to be matched by the Postal/Zip code in Customer Information.

Note: The mask for the company currency is also respected by the "Address Verification" used by Texada Pay Credit Card payments.

REGION

A company can have multiple currency codes setup and can define the Codes as preferred, so a standardized Region is also assigned to identify which payment processing and which clearing house should apply to each Currency code. This is used by the Texada Pay processing.
Currently Regions include:

AU Australia
CA Canada
OTH Other
US United States

DECRIPTION

The Region description is displayed.

Finished?

Click Accept to accept the records and to exit the screen.

ACTIONS:
Additional actions provided by buttons on the Currency Codes screen include:

• Delete a Currency Code:
  Click on the sequence number for the currency code to be deleted to highlight it in focus and then click the DELETE button.
  Confirmation is required.