We are Delhi based software company. In every month we are generating invoices in US Dollars and pertaining to that invoices we are receiving inward remittances in US Dollars and crediting in our Bank EEFC A/c
29 June 2011
Convert all transactions in INR at that day rates.
Firstly while invoice booking convert at that day rate. Then while receiving remittance convert again at that day rate and charge the difference in exchange gain/loss account.
However when you reconvert the currency from EEFC to your INR account you need not account for any exchange gain/loss as the same is already accounted.
CAclubindia
