19 August 2009
WE MAKE A EXPORT SALE (USA) OF $106848 BUT IN OUR CURRENCY INVOICE MADE RS.52,67,640/- & PARTY SEND US A DOLLORS 3 TIMES. 1. ADVANCE $21365 @ RS.49.16 i.e. RS.10,50,284.74 2. AFTER SALE $74786 @ RS.48.73 i.e. RS.36,44,302.29 3. & LAST $10680 @ RS.47.89 i.e. RS.51,14,55.62
NOW AT THE LAST IN OUR ACCOUNT SHOWS OUTSTANDING OF RS.61,598.35
I WANT TO CAN I WRITE OFF THIS AMOUNT? IF YES, TELL ME UNDER WHICH ACCOUNT HEAD? IF NO, TELL ME WHAT I DO WITH THIS FIGURE? TELL ME JOURNAL ENTRY WHICH I WILL USED IN TALLY.
Guest
Guest
(Expert)
19 August 2009
Dear Mahesh
The above mentioned amount is your loss and should be written in P&L a/c. The account Head can be "Forex profit or loss A/c"
Journal Entry should be:
Forex Profit or Loss A/c Dr. XXXX To Customer A/c XXXX
The journal entries will be as follows. 1) At the time of sale
Customer a/c 5267640 Dr To Export Sales 52,67,640 ( USD 106848 x 49.30)
2) 1st Payment of USD 21365 Bank a/c 1050284-74 Dr Exchange rate flucuation 3009.76 To Customers 10,53,294-50 ( USD 21365 x 49.30 to customer a.c and the differene 0.14 to forex loss a/c)
3) 2nd Payment of USD 74786 Bank a/c 36,44,302-29 Ex.rate loss 42,647-51 To Customer = 36,86,950 ( USD 74786 x 49.30) (74786x49.30-48.73)
4) 3rd & final payment 10680
Bank a/c 5,11,455-62 Ex.rate loss 15,059 Bank charges 871 To Customer 527395 ( Your invoice values is USD 106848 whereas you have received USD 17 short that will be bank charges ( USD 17 x 49.30)