Shulou(Shulou.com)06/02 Report--

On the principles and theoretical basis of foreign currency processing:

1. Definition of exchange gains and losses exchange gains and losses refer to the discounts caused by different accounting time and exchange rates for each item of an enterprise's foreign currency accounts and foreign currency statements

The difference that amounts to the base currency of the account. According to the causes of exchange gains and losses, foreign exchange gains and losses can be divided into two types: foreign currency transactions and foreign currency statements. The gains and losses of foreign currency transactions can be divided into realized foreign currency transactions and unrealized foreign currency transactions according to whether they are realized in the current period.

There are two situations arising from exchange gains and losses:

(1) the exchange gains and losses arising from the difference between the buying price and selling price of foreign exchange and the recorded value in foreign currency exchange.

(2) Exchange gains and losses arising from changes in the value of foreign currency monetary assets or negative debts caused by changes in the exchange rate during the period of foreign currency monetary assets and liabilities held.

two。 The calculation method of exchange gain and loss there are two kinds of calculation of exchange gain and loss: one-by-one carry-over method and centralized carry-over method. The one-by-one carry-over method means that every foreign currency business shall be accounted for at the market exchange rate or the opening exchange rate on the day on which the business occurs.

For each settlement or receipt and payment, the exchange gain or loss shall be calculated according to the book exchange rate, and then adjusted according to the market exchange rate at the end of the period (the end of the month, the end of the quarter and the end of the year). The difference between the adjusted end-of-period RMB balance and the original book RMB balance shall be regarded as the current exchange loss. Under this method, the increase of foreign currency assets and liabilities is converted by the market exchange rate chosen by enterprises, and the reduction of foreign currency assets and liabilities is converted by book exchange rate. the book exchange rate can be calculated by first-in-first-out method, weighted average method and other methods.

The centralized carry-over method means that enterprises usually keep accounts for foreign currency accounts at the selected market exchange rate (the exchange rate on the day on which the business occurs or at the beginning of the period), and usually do not recognize exchange gains and losses. At the end of the period (the end of the month, the end of the quarter, the end of the year), the balance of the foreign currency account is adjusted according to the end-of-period exchange rate, and the difference between the adjusted end-of-period RMB balance and the original book balance is concentrated to calculate an exchange gain or loss.

The calculation results of the pen-by-stroke carry-over method and the centralized carry-over method are consistent: it is more complicated to find or calculate the book exchange rate at any time. Centralized carry-over method:

Usually, there is no need to calculate exchange gains and losses, but focus on the calculation of exchange gains and losses at the end of the period.

The method of dealing with Foreign currency Business in Oracle products

1. According to the current accounting method of oracle, it belongs to the centralized carry-over method for calculating exchange gains and losses. If only the Oracle general ledger module is enabled, the processing steps and logic of the corresponding system are as follows:

1) according to the original currency balance of the foreign currency account at the end of the period, the converted RMB balance shall be calculated at the market exchange rate at the end of the period (that is, the revaluation rate).

2) compare the converted RMB balance with the original book RMB balance before adjustment, and calculate the difference of RMB balance that should be adjusted.

3) determine the amount of exchange gains and losses that occur according to the difference in RMB that should be adjusted.

4) the system automatically generates an accounting voucher with the source of "revaluation" and the category of "revaluation".

Examples are as follows:

On July 1, there was an account receivable of US $100. the company exchange rate was 8.1. the accounting vouchers entered in the system were as follows: original currency loan (USD), original currency loan (USD), converted loan (CNY) converted loan (CNY)

Receivable 100 810

Income 100 810

On July 31, a revaluation of foreign currency was conducted, and the revaluation exchange rate was 8.2. according to the revaluation action, the system automatically generated the following vouchers: original currency loan (USD), original currency loan (USD), converted loan (CNY), converted loan (CNY).

After revaluation at the end of July, the balance receivable is: USD:100,CNY:810+10=820

Exchange gains and losses generated in July were: 10

On August 10, a collection of US $50 occurred. According to the exchange rate of 8.2 at the end of last month (current company exchange rate), the accounting vouchers entered into the system are as follows:

Original currency loan (USD) original currency loan (USD) converted loan (CNY) converted loan (CNY) bank deposit 50 410

50 410 Receivable as of the end of August, the bank balance is: USD:50,CNY:410 Receivable balance: USD:100-50=50,CNY:820-410=410

8.31, the foreign currency revaluation of receivables and bank deposits is carried out, and the revaluation exchange rate is 8.3. According to the revaluation action, the following vouchers are automatically generated in the system:

Original currency loan (USD) original currency loan (USD) converted loan (CNY) converted loan (CNY) receivable 0 508.3-4105

Bank deposits 0 50-8. 3-410-5

Exchange profit and loss 0 10

Therefore, the exchange gain or loss generated in August is: 10.

2. In Oracle products, if each sub-module is enabled, the sub-module uses the "one-by-one carry-over method", that is, to record the realized exchange gains and losses according to the exchange rate differences between the trading date and the settlement date of each transaction. We also use the previous example to illustrate the approach and logic of the combination of AR and GL modules:

On July 1, there is an account receivable of US $100 and the company exchange rate is 8.1. If the transaction is entered in the receivables module, the following vouchers will be automatically generated in the general ledger:

Original currency loan (USD) original currency loan (USD) converted loan (CNY) converted loan (CNY) receivable 100 810

Income 100 810

On July 31, the foreign currency revaluation is carried out in the general ledger module, and the revaluation exchange rate is 8.2. According to the revaluation action, the following vouchers are automatically generated in the system:

Original currency loan (USD) original currency loan (USD) converted loan (CNY) converted loan (CNY) 0 (1008.2-810) = 10

Unrealized exchange gain or loss 0 10

After revaluation at the end of July, the balance receivable was: USD:100,CNY:810+10=820

The unrealized exchange gain or loss generated in July is: 10

On August 10, a collection of US $50 occurred, and the previous invoice was cancelled. According to the exchange rate of 8.2 at the end of last month (current company exchange rate), the receipt was entered in the receivables module. The system will confirm the realized exchange gains and losses of this transaction according to the "one-by-one carry-over method". After being transmitted to the general ledger, the following vouchers will be formed:

Original currency loan (USD) original currency loan (USD) converted loan (CNY) converted loan (CNY) bank deposit 50 410

50 50-8. 1-405 realized exchange gains and losses 0. 50-50. 8. 2-50. 8. 1. 5 as of the end of August, the bank balance is: USD:50,CNY:410

The balance receivable is: USD:100-50=50,CNY:820-405=415

Realized exchange gains and losses are: USD:0,CNY:5

On August 31, foreign currency revaluation of receivables and bank deposits was conducted, and the revaluation exchange rate was 8.3. According to the revaluation action, the following vouchers were automatically generated in the system:

Original currency loan (USD) original currency loan (USD) converted loan (CNY) converted loan (CNY) receivable 0 508.3-415000

Bank deposits 0 50% 8.3-410% 5 did not realize exchange gain or loss 0 5 therefore: during the accounting period in August: the realized exchange gain or loss generated by the system + unrealized exchange gain or loss = 10 equals to the result of foreign currency processing with only the general ledger module enabled.

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Conclusion

According to the above examples, we think that after enabling the Oracle general ledger and sub-module, the result of the foreign currency processing is consistent with that of the original XXXX processing method, and the logic and method of the Oracle sub-module does not violate the principle of foreign currency accounting.

It is added that at the end of each month, after the foreign currency revaluation of the general ledger module, in order to reconcile the foreign currency accounts of the general ledger and sub-modules, you can use the

Submit a request in each sub-module: "open project revaluation report" for verification.

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