• From: Malta
  • Registered: 04/06/2012
  • Posts: 123

Topic: Settling foreign currency invoices with local currency

Hi,
We do a number of purchases from foreign suppliers who charge us in US$ or GBP.
As these purchases are paid using a Credit Card, we get the equivalent value in EUR.

Infact, the Credi Card Account is set in EUR.

When we settle the invoices we use the Supplier Payment Entry.  The supplier is selected. Note Supplier's base currency is USD. We see the Exchange Rate, e.g. 0.7639 = 1 Euro. The Credit Card Account is selected and we enter the amount indicated on the Bank's statement.

However, with this method we are not able to match the amount paid to the invoice.

What is the proper way to pay invoices in foreign currency?

Thanks
Carmelo