About the Batching Process with Foreign Currencies

Products in Aptify are generally associated with only one Accounts Receivable (A/R) account. Therefore, when general ledger (GL) batching transactions that involve foreign currencies, whether orders, payments, or scheduled transactions, it is necessary to handle each functional currency/foreign currency combination in its own separate GL batch. Aptify provides a General Ledger Segment field in the Currency Types service that allows the organization to associate a sub-account number with the main accounts receivable account number. This functionality allows organizations to incorporate each general ledger batch individually and associate the general ledger batch with the corresponding A/R account on their accounting system.

During the GL batching process, all the records in the GL batch view are analyzed and those with the same functional currency/transactional currency are grouped together. The details of the GL entries can be viewed and each GL batch can be approved or rejected prior to finalizing the GL batch. Separate general ledger batches are created for each functional currency/transactional currency combination, which can then be exported for incorporation into the organization's accounting system.

Also, when foreign transactions are general ledger batched and exported, the currency spot rates associated with the GL batched transactions are exported as well. However, since the individual transactions reference currency spot rates that are, in all probability, not the same for all transactions in the GL batch, it is necessary to export the overall currency spot rate. The weighted currency spot rate is a calculation that is performed for each foreign currency GL account that is exported. For a detailed example of calculating weighted currency spot rates see Calculating Weighted Currency Spot Rates.

For more information on GL batching, see Batching Orders, Payments, and Scheduled Transactions.