Example: Detailed Currency Restatement and Ledgers Used

In this example, a Colombian company restates amounts from Colombian pesos (COP) to U.S. dollars (USD) so that they can produce financial statements in USD, a stable currency. The currency code USD is assigned to the alternate currency ledger (XA). The company also uses the YA and ZA ledgers.

The Detailed Currency Restatement program updates amounts in the XA, YA, and ZA ledgers based on the original entry, as described in this table:

Original Entry	Alternate Ledger Updated
Domestic transaction in COP	For this entry, the transaction currency is the same as the company currency. The system: Restates the AA ledger amount (COP) to the XA ledger (USD). Copies the AA ledger amount (COP) to the YA ledger (no currency).
Foreign transaction in USD	For this entry, the transaction currency equals the XA ledger currency. The system copies the CA ledger amount (USD) to both the XA and ZA ledgers (USD).
Foreign transaction in CAD	For this entry, the transaction currency is a currency other than the XA ledger currency. The system: Restates the AA ledger amount (COP) to the XA ledger (USD). Copies the XA ledger amount (USD) to the ZA ledger (USD).