Forex 19-20

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1238 Points Posted on 05 April 2020
Dear Friends,

We borrowed ECB loan USD 10 Million from our parent company in the FY year 18-19. That time INR value was Rs 68 per USD. Now, we need to revaluation the same loan amount with 31st Mar, INR value Rs 75.3859 Per USD? and book the differences value under FX Gain/ Lossess?.
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On 05 April 2020 at 14:56 Report
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Quick Summary
This discussion addresses the revaluation of an ECB loan taken in USD when the INR exchange rate has changed. The user needs to calculate the foreign exchange loss arising from the difference between the initial and current exchange rates. Key questions include whether to use the company's internal rate or the RBI reference rate for FX calculations and how to account for a received debit note from a parent company.

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study/Intern Trainee
14 Points Posted on 05 April 2020
There is total loss of Rs. 73.859 million Fx loss due to fall in home currency value or we can say that , rise in foreign currency from 68$ to 75.3859 $. which is shown below -
(75.3859-68)*10 million $ =Rs. 73.859 million
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On 05 April 2020 at 18:43
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1238 Points Posted on 05 April 2020
Ms. Monika, thank u so much for your kind assistance
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On 05 April 2020 at 18:59
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study/Intern Trainee
14 Points Posted on 05 April 2020
Your most welcome
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On 05 April 2020 at 19:13
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1238 Points Posted on 07 April 2020
Dear Monika, Which rate we should consider for FX calculations. Company's internal rate or RBI reference rate?
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On 07 April 2020 at 22:37
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7 Points Posted on 13 April 2020
I don't understand answer, can you please in detail
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On 13 April 2020 at 12:01
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1238 Points Posted on 13 April 2020
Dear Vimal Ji, we are Receiving Dr Note from our Parent Company of USD 1000. We need to account this Dr Note in our books. So, we have to convert USD to INR. For this conversion which USD rate can we consider? RBI reference rate or Group Companies are fixing one exchange rate for USD. Ex. RBI reference rate as at 31-3-20 is INR 75.3859 = 1 USD. Our Group companies Fixed Rate INR 74.7543 = 1 USD.
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On 13 April 2020 at 12:38

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