Foreign exchange difference between invoice and payment

[FutureAccountant]

Good day,

If you have an international client and the payment in Rand (say, converted from Saudi Riyal) does not match up with the invoice amount in Rand, how would this difference reflect on the TB and how would it be treated if you had access to the multi-currency module in Pastel?

Similarly, if the supplier ledger reflects 0 under the foreign currency, but there is a balance left on the account in the local currency analysis (Rand), is this due to foreign exchange variations and how is this corrected?

Thank you

[acheronia]

Create a separate account called Foreign Exchange Difference under either Current Liability or Current Asset (it really makes no difference). Post the balance to this account throughout the financial year. In the end it can then either end with a loss or income, which will have to be declared.