Documentation Index
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How to Run Multi-Currency Reports
You can run any DualEntry report in your functional currency or translate it into a reporting currency. This is essential when you consolidate entities that operate in different currencies - for example, translating a EUR subsidiary’s financials into a USD parent’s reporting currency.
Functional vs. Reporting Currency
Each entity in DualEntry has a functional currency - the base currency in which you record day-to-day transactions. The functional currency is set during multi-currency setup and applies to every transaction in that entity’s books.
The reporting currency is the currency you want the report output in. When the functional and reporting currencies differ, DualEntry translates account balances using the rules described below. You select the reporting currency at report runtime from the currency picker, and the selection persists for the duration of your session. You can also set a default reporting currency per entity so that reports open in the preferred currency without manual selection each time.
Translation Rules
DualEntry uses standard translation methods aligned with ASC 830 / IAS 21 conventions:
- Assets and liabilities: translate at the period-end (closing) exchange rate.
- Income and expenses: translate at the average exchange rate for the reporting period.
- Equity accounts: translate at historical rates - the rate in effect when the equity transaction originally occurred.
These rules apply automatically when you select a reporting currency that differs from the entity’s functional currency. DualEntry maintains a mapping between each account type and its translation method, so you do not configure translation rules at the individual account level. If you need to override the default method for a specific account - for example, translating a particular revenue account at the closing rate instead of the average rate - you configure the override in the chart of accounts settings.
FX Rate Sources
Exchange rates come from the FX rate source you configure in multi-currency setup. DualEntry supports three source types:
- Built-in provider: DualEntry fetches daily rates from a market data feed automatically.
- Manual entry: you enter specific rates for each currency pair and date.
- Uploaded rate table: you upload a file containing rates by date and currency pair.
You combine sources - for example, use the built-in provider for daily spot rates and manual entry for specific historical rates that differ from the market feed. DualEntry applies rates by date, selecting the rate closest to the required date for each translation. When multiple sources provide a rate for the same currency pair and date, the most recently entered rate takes precedence.
Verify that FX rates are current before running translated reports. Stale or missing rates produce incomplete translations, and DualEntry flags affected accounts with a warning.
Running a Translated Report
Select the reporting currency from the currency picker on any report - standard financial statements, custom reports, or aging reports. DualEntry applies the translation rules to every line and displays the result in the selected currency.
The report header shows both the functional currency and the reporting currency so you can confirm the translation direction. Each line item displays the translated amount, and DualEntry recalculates all subtotals, totals, and variance columns in the reporting currency. If any line cannot be fully translated due to a missing exchange rate, DualEntry highlights that line and displays a warning indicator so you can address the gap before finalizing the report.
Cumulative Translation Adjustment (CTA)
When translated debits do not equal translated credits - a natural result of using different exchange rates for different account types - DualEntry creates a balancing entry called the cumulative translation adjustment. CTA posts to an equity account that you designate during multi-currency setup.
DualEntry computes CTA automatically during translation. The CTA line appears on the translated balance sheet and the statement of stockholders’ equity. You do not create CTA entries manually. The CTA amount changes each period as exchange rates fluctuate. You review the CTA balance as part of your close process to understand the impact of currency movements on consolidated equity. If the CTA balance is material, the flux report flags it for commentary just like any other equity account variance.
Comparing Currencies Side by Side
Some reports support a dual-currency view that shows both functional and reporting currency columns on the same output. This is useful for reconciling translated amounts back to the source ledger. You enable the dual-currency view from the report’s column settings.
In the dual-currency view, each line item displays the functional currency amount, the reporting currency amount, and the exchange rate used for translation. This three-column layout makes it straightforward to verify individual translations and identify lines where the applied rate differs from your expectation. The dual-currency view is available on the balance sheet, income statement, and custom reports. You export the dual-currency view in the same formats (PDF, Excel, CSV) as the standard single-currency output.
For the initial configuration of currencies, entities, and FX rate sources, see multi-currency setup. For consolidated reporting across multiple entities, see multi-entity consolidation.