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What is Forex gain or loss in Tally ?

The unadjusted Forex gain or loss balance in tally will arise due to the exchange rate fluctuations.Create a ledger as Forex gain or loss under Indirect Expenses or Indirect Income to transfer the amount from Balance Sheet to Profit and Loss Account by using Voucher Class.

With the advent of globalization, using multi-currency has become a necessity for companies involved in International Trade business. Starting from transactions to viewing of reports, multicurrency support is required. And most importantly, adjusting Forex Gain/Loss is one crucial activity to generate an accurate Profit/Loss account statement. Handling these processes with a rate of exchange that fluctuates regularly is quite a challenge. However, Tally.ERP 9 provides a comprehensive multi-currency support that allows recording of transactions in multi-currency, specifying the rate of exchange and automatic calculation of Forex Gain/Loss with extremely simplified adjustment for the same.

steps to adjust the Forex Gain and Loss