Re: Credit note in Foreign Currency

[PONNADA B K RAVIKUMAR]

We are importing soup in the month of april’10 and May’10 the Exchange rate in these months are Rs.43 per Euro and Rs.43.60 per Euro and accounted , after that these two consignments are rejected, so we got the Credit note dt 30.04.10,but we received in the month of Sept’10, so which rate we have to account this credit note

AI Summary

Clarification Needed on Exchange Rate for Credit Note Accounting: Should it be Rs.43 or Rs.43.60? A discussion on a forum addresses the issue of accounting for a credit note received in September 2010 for consignments imported in April and May 2010. The exchange rates during those months were Rs.43 and Rs.43.60 per Euro. A participant advises that the important date for accounting is when the claim becomes certain, not the date of the credit note or its receipt. Another participant seeks further clarification on which exchange rate to apply, whether Rs.43 or Rs.43.60.