. Company needs to calculate profit or loss on regular basis.
. Country legislation requirements to calculate P/L is to use current central bank exchange rates.
. Majority of transactions are billed in foreign currency.
. Company needs to publish report to lenders after recalculations of all types of transactions that are open (liability / debt) and consider it in P/L calculation.
. ERPNext has currency per Sales/Purchase Invoice that is used to record the transaction currency. It is not part of GL records.
- New doctype
- Calculation logic for identifying the open/due invoices (both sales & purchase) and match it with given current exchange rate to calculate unrealized gain or loss.
- GL transactions created everytime the calculation is run.
- Old calculated GL transactions are reversed (line by line).
Example Resulting JV Reversal: