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  1. Home
  2. All You Can Do with Reviso
  3. Payments
  4. Apply the exchange rate in Payment entries

Apply the exchange rate in Payment entries

When we are registering entries in the Payment section in a foreign currency, you will see that a field appears called ” Apply the exchange rate “.

This button allows you to reapply the exchange rate that appears in the Exchange rate field of your payment when you have modified any amount manually. Reviso will update the calculations and update the amounts.

Example of how to apply the exchange rate

Let’s imagine that we have issued an invoice to a customer in Euro for 1,500.00 Euros.

Two days later we have received the invoice receipt and we are ready to register it. To do this we go to the Payment  tab > Payments > New entry.

We select the number series for customer payments and change the Currency field to Eur. Doing so displays the exchange rate applicable on the day the entry is being recorded.

Next, we select the customer and the invoice for which we are recording the payment. When you do this, all the entry amount fields will be filled in automatically, a new line will even appear if there are differences in the amounts due to the exchange rate applied.

Columns Debit and Credit show the amount in Euros. The rightmost column shows the amount in GBP. As we can see, the amounts of the lines in GBP are different.

This is due to the fact that the exchange rate that was in force on the day the invoice was issued is being applied to the customer’s line; and the exchange rate in effect on the day the collection is recorded is being applied to the bank line.

The amount that appears in the first line in the Currency column, where we see the amounts in our base currency GBP, is editable, so the user could change it if necessary.

Obviously, by changing that amount manually, the exchange rate that we see in the upper part would no longer be applied.

Suppose we change it to 1,400.00 GBP. As can be seen in the following image, the exchange rate does not change and is not being applied, although Reviso adjusts the exchange rate difference line to balance the entry.

If we wanted to reapply the exchange rate that we have in the upper Exchange Rate field, we would simply have to click on the Apply the exchange rate button. Reviso will recalculate the amounts by applying the exchange rate given by default for the day the entry is being recorded.

Updated on October 5, 2020

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