Miscellaneous payables and receivables - FX gain

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A record with this entry type is made when a company registers a foreign exchange gain (FX gain) on other creditor’s or other debtor’s balance in a foreign currency.

For more information on this entry type, see:

• Entry type conditions
• Entry type details
• Application in accounting templates

Entry type conditions

In 1C:Drive, counterparties can have the following types of relationship with a company: Customer, Supplier, or Other relationship. Other creditors and debtors are counterparties with Other relationship type. They are also referred to as miscellaneous creditors and debtors.

Other creditor’s or other debtor’s balance is recorded and tracked with following details:

• Company
• Counterparty
• Contract (a counterparty contract)
• Amount in the presentation currency
• Amount in the counterparty contract currency

If the counterparty contract currency is different from the presentation currency, it means that the contract is in a foreign currency. Since foreign currency exchange rates change regularly, the amount of other creditor’s or other debtor’s balance in the presentation currency needs to be updated (revaluated) regularly as well.

1C:Drive offers the following two options for revaluation periodicity:

1. Each transaction
2. On month-end closing

If the company applies the Each transaction option, then, during a bank receipt posting, 1C:Drive revaluates other creditor’s or other debtor’s balance so that the amount in the presentation currency corresponds to the amount in the foreign currency and the current foreign currency exchange rate. Note that 1C:Drive revaluates the entire balance of other creditor or debtor for the selected contract.

In general, the revaluation procedure for other creditor’s or other debtor’s balance is as follows:

1. Calculate the current balance in the foreign currency after the received payment amount is added to or deducted from it.
2. Calculate the current balance in the presentation currency after the received payment amount is added to or deducted from it.
3. Determine the applicable foreign currency exchange rate that is effective on the bank receipt document date (exchange rates are stored in the Currencies catalog, in Exchange rates history).
4. Calculate the revalued balance in the presentation currency based on:
   • Current balance in the foreign currency
   • Applicable foreign currency exchange rate
   • Exchange rate method specified in a company’s card
5. Calculate the foreign currency exchange rate difference as:

   Exchange rate difference = Revalued balance in the presentation currency - Current balance in the presentation currency

6. If the exchange rate difference is nonzero, register FX gain or FX loss:
   • Register FX gain if:
     • Exchange rate difference on other creditor's balance is negative and the balance decreases.
     • Exchange rate difference on other debtor's balance is positive and the balance increases.
   • Register FX loss if:
     • Exchange rate difference on other creditor's balance is positive and the balance increases.
     • Exchange rate difference on other debtor's balance is negative and the balance decreases.

When a bank receipt registers FX gain on other creditor's or other debtor's balance, it also makes a record with the Miscellaneous payables and receivables - FX gain entry type in the Accounting entries data register.

Below is the detailed list of conditions for a record with the Miscellaneous payables and receivables - FX gain entry type:

1. In 1C:Drive Settings > Cash management:
   • The Foreign exchange accounting checkbox is selected.
   • Foreign currency revaluation periodicity is set to Each transaction.
2. Foreign currency exchange rate is filled in the Currencies catalog, in Exchange rates history.
3. Bank receipt is posted and:
   • Operation is set to Miscellaneous payables and receivables.
   • On the Payment allocation tab, other creditor’s or other debtor’s contract currency is a foreign currency (it is filled in the Currency field in Settlement amount details).
   • There is FX gain on other creditor’s or other debtor’s balance.

Note that if a bank receipt registers FX loss on other creditor’s or other debtor’s balance, it makes a record with the FX loss - Miscellaneous payables and receivables entry type in the Accounting entries data register.

Entry type details

A record with the Miscellaneous payables and receivables - FX gain entry type contains the following details:

General details:

• Document date
• Company
• Presentation currency

Debit details for counterparty:

• Counterparty
• Contract
• Order
• Settlement currency (contract currency)
• Document

Credit details for income:

• Income item
• Department
• Project
• Project phase

Amounts:

• Amount (Presentation currency)

Application in accounting templates

You can use the details of a record with the Miscellaneous payables and receivables - FX gain entry type as the data source to create a template for an accounting entry with following accounts:

Debit Other creditor or Other debtor account
   Credit Foreign exchange gain

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