I have post an invoice, which had exchange rate set up. Then when i try to apply the payment to it…the nav get the payment posting date exchange rate setup…which is not equal to the invoice amount…because the invoice and payment date had diffent exchange rate amount…any idea? or I miss any setup?? hoping for your reply???
The batch job use is : For customer and vendor accounts, the batch job adjusts the currency using the exchange rate that is valid on the posting date specified in the batch job.
The batch job processes all open customer ledger entries and vendor ledger entries. If there is an exchange rate difference for an entry, the batch job creates a new detailed customer or vendor ledger entry which reflects the adjusted amount on the customer or vendor ledger entry.
When you see the difference it’s beco’z of the Exchange Gain/Loss. For your case, it depends if the amount (LCY) is more than the actual Invoice then it’s a loss (realized) and if it’s less then it’s a gain (realized) but the loss/gain will only become realized only after you have applied the Payment to the Invoices. All Realized Gain/Loss are posted to Customer/Vendor & Bank
Just for your info, in Navision the effective Exchange Rate is always taken from “Starting Date” of the “Currency Exchange Rate” Table.
If you want to be aware of the Unrealized Gain & Unrealized Loss. You have to run a Batch Job-Adjust Exchange Rate. Navision will consider all open Customer/Vendor entries and will post the Unrealized Gain & Loss to Customer/Vendor Ledger Entries.
So, I don’t see anything wrong in what you have done and you have not missed any setup. Just ensure that Realized Gain/Loss and Unrealized Gain/Loss account codes are setup in G/L and linked in the Currency Table.
Adj.Exchange Rates is needed (and works only with) OPEN invoices/payments. OPEN here means “Unapplied yet” - if it even is paid and has corresponding payment and zero balance on Card, AER will keep on going to adjust LCY amount.
This is used for long-hanging unpaid invoices to correctly show current debt amount in LCY, if invoice is in another currency.
So, you should as soon as possible Apply invoice(s) to payment(s) to exclude them from AER adjustments. Besides, Applying will calculate and post the differences in ForEx rates to corresponding Gains/Losses accounts without special intervention from user, and AER has nothing to do with fully Applied invoices/payments (where Remaining Amount = 0).