I am new here and new to Book Keeping, having only recently completed level one and embarking on level two.
I work as a Book Keeper and Accounts Assistant for a small firm.
We have recently changed our QB 2013 to multiple currencies. We have one Euro customer so I made a new Euro account for them. I uploaded the exchange rate and issued a 500 invoice in February.
We have just received payment in GBP in our bank account.
My question is: How do I correctly receive the payment into the Euro supplier account? I can only enter in Euros, because it is a Euro account.
I tried entering the full invoice amount of 500 and due to the exchange rate the amount translates as more in GBP than we actually received. Also do I have to enter the exchange rate from the day payment cleared in our bank account? If so I will have to do this manually or can I use the download exchange rate function from within QB (Like I did initially) for a past date?
I would REALLY appreciate any help here as I have searched online for an answer with no joy. Thank you!
-- Edited by Rachel Joyce on Thursday 20th of March 2014 03:00:24 PM
I don't know how to do it in QB's as I don't have this function turned on, but I have a client who imports and we have a code set up in the nominal called 'exchange rate variance', you may have to set up one of these as the exchange rate changes daily and there will be a difference.
When you enter the money in Euros you just overtype the exchange rate at the bottom of the form to give the exact amount of pounds you received. I have several clients that I use the currency function and end up changing all the exchange rates to match what they acutally did. I'm not sure where QuickBooks get their exchange rates from but they aren't that close to the ones my clients end up using. Especially with paypal accounts in different currencies.
