Hello Amit & Naresh Here is the reason why we, at vauxoo, regard this behavior as a bug,
>From Wiley 13 ACCOUNTING FOR FOREIGN CURRENCY TRANSACTIONS AND HEDGING FOREIGN EXCHANGE RISK page 16 in document [1] says: " ... The FASB reasoned that users of financial statements are best served by reporting the effects of exchange rate changes on a firm's financial position in the accounting period in which they occur, even though they are unrealized and may reverse or partially reverse in a subsequent period, ... " Fasb in document [2] Page 8, Section Foreign Currency Transactions says: " ... Foreign currency transactions may produce receivables or payables that are fixed in terms of the amount of foreign currency that will be received or paid. A change in exchange rates between the functional currency and the currency in which a transaction is denominated increases or decreases the expected amount of functional currency cash flows upon settlement of the transaction. <b> That increase or decrease in expected functional currency cash flows is a foreign currency transaction gain or loss that generally shall be included in determining net income for the period in which the exchange rate changes.</b> ... " IASB/IFRS in document [3] page 2 says: ''' ... A foreign currency transaction shall be recorded, on initial recognition in the functional currency, by applying to the foreign currency amount the spot exchange rate between the functional currency and the foreign currency at the date of the transaction. At the end of each reporting period: (a) foreign currency monetary items shall be translated using the closing rate; (b) non-monetary items that are measured in terms of historical cost in a foreign currency shall be translated using the exchange rate at the date of the transaction; and (c) non-monetary items that are measured at fair value in a foreign currency shall be translated using the exchange rates at the date when the fair value was measured. <b>Exchange differences arising on the settlement of monetary items or on translating monetary items at rates different from those at which they were translated on initial recognition during the period or in previous financial statements shall be recognised in profit or loss in the period in which they arise. </b> ... ''' Taking into account the knowledge that is available regarding recording transactions in foreign currencies and considering that we, all OpenERP Community People, want our Openerp Suite be the best and stick to the best practices available when it comes to accounting and IFRS recording, we want to enforce that this behavior that is regarded by us as wrong be fixed, if help is wanted we are available to keep this channel open and cooperate in the means that are meant necessary Please can you make available the branch for this bug, Thanks in advance [1] http://www.wiley.com/college/bcs/0471173975/ch13.doc [2] http://www.fasb.org/cs/BlobServer?blobcol=urldata&blobtable=MungoBlobs&blobkey=id&blobwhere=1175820909452&blobheader=application%2Fpdf [3] http://www.ifrs.org/Documents/IAS21.pdf -- You received this bug notification because you are a member of OpenERP Indian Team, which is subscribed to OpenERP Addons. https://bugs.launchpad.net/bugs/1194978 Title: The movements with currency exchange only was created when the payment is full Status in OpenERP Addons (modules): Confirmed Bug description: You can generate an new invoice in dollars, with an type of change of an date, and create a new payment for the invoice with other type of change to the invoice, but not full payment, and validate the payment, and you can see that not created movements for the account the currency exchange. Now complete the payment of the invoice, and now yes created the moves for the account of currency exchange. http://www.youtube.com/watch?v=k_kZm22cgIc I had expected that by each payment I can see the moves with the currency change To manage notifications about this bug go to: https://bugs.launchpad.net/openobject-addons/+bug/1194978/+subscriptions _______________________________________________ Mailing list: https://launchpad.net/~openerp-india Post to : [email protected] Unsubscribe : https://launchpad.net/~openerp-india More help : https://help.launchpad.net/ListHelp
