Documents in Different Base Currencies: To Process an AP Bill

The following activity will walk you through the process of processing a bill between the branches that use different base currencies.

Story

Suppose that in January 2024, the MHEAD branch of the Muffins & Cakes company purchased 10 hours of consulting services from SweetLife Canada. Acting as Kimberly Gibbs, an employee who has access to the Muffins and SweetLife Canada companies, you need to extend the SLCANADA branch as a vendor and create an AP bill for the MHEAD branch. This bill is based on the invoice from SweetLife Canada. Because SweetLife Canada has an agreement with the MHEAD branch that they bill them in the US dollars, the corresponding bill in the MHEAD books should be in USD.

Configuration Overview

In the U100 dataset, the following tasks have been performed for the purposes of this activity:

  • On the Enable/Disable Features (CS100000) form, the Multibranch Support, Multicompany Support, Customer and Vendor Visibility Restriction, Multicurrency Accounting, and Multiple Base Currencies features have been enabled.
  • On the Companies (CS101500) form, the MAFFINS company has been configured.
  • On the Branches (CS102000) form, the MHEAD branch of the MAFFINS company has been created.

Process Overview

In this activity, you will extend the SLCANADA branch to be a vendor on the Vendors (AP303000) form. You will then generate an AP bill on the Bills and Adjustments (AP301000) form, release the bill, and review the generated GL transaction on the Journal Transactions (GL301000) form.

System Preparation

Before you begin performing the steps of this activity, do the following:

  1. Launch the MYOB Acumatica website with the U100 dataset preloaded, and sign in as a system administrator Kimberly Gibbs by using the gibbs username and the 123 password.
  2. In the info area, in the upper-right corner of the top pane of the MYOB Acumatica screen, make sure that the business date in your system is set to 1/30/2024. If a different date is displayed, click the Business Date menu button, and select 1/30/2024 on the calendar. For simplicity, in this activity, you will create and process all documents in the system on this business date.
  3. On the Company and Branch Selection menu on the top pane of the MYOB Acumatica screen, select the SweetLife Canada branch.
  4. Be sure that you have configured the SweetLife Canada company, as described in Multiple Base Currencies: Implementation Activity, which is a prerequisite activity.
  5. On the Company Groups (CS102500) form, be sure that you have added the USCOMP company group, as described in Company Groups: Implementation Activity, which is a prerequisite activity.
  6. On the Vendors (AЗ303000) form, be sure that you have configured the visibility restrictions for regular vendors, as described in Vendor Visibility: To Restrict Visibility to a New Company, which is a prerequisite activity.
  7. On the Vendors form, be sure that the SWEETEQUIP vendor has been extended from a branch, as described in Intercompany Sales: Implementation Activity, which is a prerequisite activity.
  8. On the Non-Stock Items (IN202000) form, be sure that you have defined the default price in CAD for the CONSULT item, as described in Prices in Base Currencies: Process Activity, which is a prerequisite activity.
  9. Be sure that you have created an AR invoice for the MHEAD customer, as described in Documents in Different Base Currencies: To Process an AR Invoice, which is a prerequisite activity.

Step 1: Extending the SLCANADA Branch to Be a Vendor

To extend the SLCANADA branch to be a vendor, do the following:

  1. Open the Companies (CS101500) form.
  2. In the Company ID box, select SLCANADA.
  3. On the More menu (under Company Management), click Extend as Vendor.
  4. On the Vendors (AP303000) form, which is opened, select INTERCO - Related Company in the Vendor Class box.
  5. In the warning dialog box that is displayed, click Yes.
  6. On the Financial tab, specify the following settings:
    • Enable Currency Override: Selected
    • Curr. Rate Type: SPOT
  7. On the Payment tab, in the Payment Method box, select WIRE.
  8. On the form toolbar, click Save to save your changes.

Step 2: Creating an Intercompany AP Bill

To create an AP bill between branches that use different base currencies, do the following:

  1. On the Invoices and Memos (AR301000) form, open the invoice for the MHEAD customer with an amount of 501.00.
  2. On the More menu (under Intercompany), click Generate AP Document.
  3. On the Bills and Adjustments (AP301000) form, which is opened, review the bill settings that the system has inserted automatically based on the AR invoice.
  4. On the form toolbar, click Remove Hold, and then click Release to release the bill.
  5. On the Financial tab, click the link in the Batch Nbr. box to review the generated GL transaction on the Journal Transactions (GL301000) form.

    The transaction has been posted for the MHEAD branch and the MACTUAL actual ledger. The transaction currency specified in the Currency box is USD, because it is the currency of the original invoice.