Multicurrency Revaluation: Post Results to Account Vs Post to Offset Account
Whenever we set up an Account in Financial => Cards => Account, We’d go to Account Currencies window and assign the Multi currencies in case the account will have transactions originating in currencies other than Functional Currency. Besides assigning the Multi currencies here, it also involves to check whether we need those currencies to be revalued or not. If Yes, we need to mark the Revalue Account option and then choose to Post Results to Account or Financial Offset Account. Here, Results mean the the Realized gain / Loss or the Unrealized Gain / loss as the case may be, resulting out of Revaluation of Multi currencies in the Financial Routines ( Financial => Routines => Revaluation ) The basic difference between choosing Post results to an offset A/c and post results to Account is If you choose the Offset a/c, the revaluation results would be posted to a separate account that is defined as Financial Offset A/c in Posting Accounts setup ( Administration => Setup...