Trying to understand reasons for a FX loss

[Former Member]

Hi All,

Firstly our LC is same as SC.

We have run the exchange rate differences tool and it has posted a huge £30k loss against the expect gains. We need to understand where the loss has been driven from, i.e exact transactions involved.

I can't seem to find any reports which give a break down of it's calculations?

Separately, what we find worrying is that it revalued our stock (GBP) lower from the exchange rate calcuation when we have never bought stock in euros. We do sell to BP's who are set to Euros and I understand transactions are conducted therefore in FC, but how a GBP stock account managed to devalue after a posted stock take is beyond me.

any ideas to these two questions? all help appreciated.

[Former Member · Accepted solution]

Hi,

It is better to get to the detailed differences to analysis. This can be done such as by query to list all transactions from JDT1 that related to a BP.

May I assume your LC and SC are GBP?

Thanks,

Gordon

[Former Member · Accepted solution]

Hi,

yes lc and sc gbp

[Former Member · Accepted solution]

In general, the differences are coming from changed foreign exchange rate. All historical transactions are based on previous date rate. The difference is calculated based on current rate.

[Former Member · Accepted solution]

ok found out it was missed currency journals causing the problem.