Intermediate
FX remeasurement: monetary items and gain/loss JE
Calculates FX remeasurement for monetary assets/liabilities and drafts the period-end journal entry and reconciliation. Useful for entities with foreign-currency AR/AP and cash balances.
Perform FX remeasurement for {entity_name} for period ending {period_end_date}.
Inputs:
- Functional currency: {functional_currency}
- Foreign currency balances (monetary items): {fx_monetary_balances}
- Spot rates at transaction dates (if available): {historical_rates}
- Period-end spot rate(s): {period_end_rates}
- Existing FX gain/loss account(s): {fx_accounts}
Output:
1) Remeasurement calculation table: Item, FCY amount, Rate used, LCY before, LCY after, Gain/Loss.
2) Journal entry to record net FX gain/loss and updated balances.
3) Tie-out to GL and subledger (AR/AP) and recon items.
4) Documentation checklist (rates source, approvals).
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