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Querist : Anonymous

Querist : Anonymous (Querist)

16 February 2012 What is unrealised foreign exchange gain/loss ?

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CA. Hari Kishan

CA. Hari Kishan (Expert)
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16 February 2012 Illustrated with example:

Say you do credit purchase goods for Rs.47000 (invoice is 10$) on 01.03.2011. Say the exchange rate on 31.03.2011 is Rs.50 per dollar

Then you shall have a loss of 3$ i.e 300Rs. as there is a increase in the dollar rate, there by your payable shall increase.. and vice versa if the dollar rate drops..

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