Multi-Currency & Financial Consolidation

Period-end adjustment of unsettled balances

Currency Revaluation, on the CurrencyRevaluationPage, addresses foreign-currency balances that are still open at period end. Unlike realised gain or loss, which arises when a transaction settles, revaluation produces an unrealised gain or loss: the balance has not yet been paid, but its functional-currency value has changed because the exchange rate has moved since it was booked.

The revaluation process computes this unrealised gain or loss against an income or expense account and generates the corresponding journal entry. In other words, revaluation does not merely report a number — it posts an adjusting entry so the financial statements reflect current exchange rates for open foreign-currency items. SamvraCore also keeps a revaluation history, so each period-end run is recorded.

Key points:

• Unrealised gain or loss — recognised on open balances that have not yet settled.
• Posted against an income or expense account — the adjustment lands in the books, not just a report.
• Journal entry generation — the entry is created automatically as part of the run.
• Revaluation history — prior runs are retained for reference and audit.

A typical period-end flow is to ensure exchange rates are current, run revaluation for the open foreign-currency balances, review the computed unrealised gain or loss, and let the system post the adjusting journal entry. This keeps reported balances honest between the dates transactions are booked and the dates they finally settle.