If you are using the Multi-Currency add-on module, you can set the currency for each customer, supplier and cashbook.

Once you start processing for a customer, supplier and cashbook, you cannot change this field.

Each customer, supplier and cashbook account can only work in one currency. 

NOTE: Multi Currency is ONLY available in Sage Pastel PARTNER.

Processing

The system opens currency fields in the standard processing functions, and you can use them:

• You can enter transactions in the cashbook for foreign bank accounts. You can also process payments to foreign suppliers, and receipts from foreign customers, in a home currency cashbook or a foreign currency cashbook.
• You can process journals for foreign customers and foreign suppliers.
• If you use customer-specific prices, you enter these prices in the customer's currency.
• You can process sales to foreign customers and purchases from foreign suppliers.

In all processing, the principle is that you enter foreign currency values in the foreign currency. The system usually shows you the home currency. Most of the time, you can also see and adjust the exchange rate the system uses.

Customers:

When processing customer transactions you will use 2 transactions namely Invoices and Receipts

• Select Process > Customer > Tax Invoice
• Select the foreign customer
• Insert the correct date
• Insert the exchange rate on date of sale
• Process the Invoice as normal and update once completed

Cashbook Receipts:

When processing cash book entries, you will process the amount that appears on your bank statement, this will be the home currency value.

First enter the home currency in the Bank Amount column, this value appears on your bank statement, then enter the foreign currency amount in the Foreign Customer column that the customer is paying.

The system will automatically calculate the exchange rate of this transaction.

 NOTE: It is important to understand the following. The exchange rate at the time of purchase is not going to be the same exchange rate as at time of receipt, because of fluctuations in the value of the home currency against the foreign currency.

Supplier:

When processing supplier transactions you will use 2 transactions namely Supplier Invoices and Payments

• Select Process > Supplier > Supplier Invoice
• Select the foreign Supplier
• Insert the correct date
• Insert the exchange rate, this rate can be retrieved from the shipping Invoice received from the shipping agent
• Process the Supplier Invoice as normal and update once completed

Open Item Matching:

The moment a receipt or payment is processed and you go to the next line, the Match Open Item Screen displays.

Here you would need to match the receipt or payment processed to the Invoice that is being paid.

Please note the value of the Invoice in home currency is going to be different from the value of the receipt or payment. This means the foreign currency value will be zero but the home currency will show a balance.

If the foreign currency has strengthened against the home currency, the home currency value will show a loss. If the home currency strengthened against the foreign currency, the home currency value will show a profit.

Cashbook Payments:

When processing cash book entries, you will process the amount that appears on your bank statement, this will be the home currency value.

First enter the home currency in the Bank Amount column, this value appears on your bank statement, then enter the foreign currency amount in the Foreign Supplier column that is paid to the supplier.

Foreign Cash Book processing:

Processing in this cash book will be the same as in home currency. You will receive a bank statement in this currency.

• Select Process > Cash Book > Process Cash Books
• Select the drop down to select the Foreign Bank Account