Hi, I don't see any "snip" so not sure what you are referring to... But yes, my guess is yes, it's an exchange-rate issue and not accounting for the change in value from Time_0 to Time_1 when you have a cross-currency transaction. My first guess would be what the exchange rate was on the 1000€ on the date you created the transaction, and see if that helps answer the discrepancy. The other places to look would be exchange rate differences at any other exchanges. Good Luck, -derek
On Wed, December 28, 2022 4:53 pm, Sebastian Naumann wrote: > Hi everyone, > > I have a small issue here arising, from what I believe, the Exchange > rates. > > Background: > > * The entity I am working on received a Loan in EUR and decided to set > their Common Stock Capital to 1000 EUR instead of 1000 USD. > * The entity operated for one year only and will be closed as of > 12/31/2022 > * All outstanding loans were already reclassed (as part of closing the > accounts) to other Income as "Cancellation of Debt Income". This is > approved by the CPA. > > The situation at this point: > > * *All Invoices and bills have been paid in full!!!* > * *Trial Balance is good -> Debits = Credits > * > * I closed out all the accounts, including the Bank Account which was > closed yesterday -> Hence there are $0.00 Assets. > * On the other side of the Balance Sheet, we only have > o the Common Stock for 1000 EUR, which is converted to 1062.15 USD > as of the latest exchange rate used -> *SO FAR SO GOOD.* > o The Retained Earnings, which are the loss for the current year > -> *All good here too*. > o "*Unrealized Losses"* of $116.52, which, from a logical > standpoint can only come from the FX Adjustment on Common Stock > (see snip below) > o Equity + Liabilites is now $21.55 vs Total Assets of $0.00 > > However, how come this does not balance? Anyone have this issue before? > > Mit freundlichen Grüßen > > Sebastian Naumann > *US Compliance Manager* > > > > *MERCATORZ INTERNATIONAL GmbH & Co. KG* > Klingholzstr. 7 > 65189 Wiesbaden > > Web: www.mercatorz.com <https://www.mercatorz.com> > E-Mail: naum...@mercatorz.com > PGP Fingerprint: DBCF ED37 6B00 25DE C469 5E0B E6B0 15C4 E292 430E > Tel. (direkt): +49 (0) 611 95 00 96-11 > Tel.: +49 (0) 611 95 00 96-00 > > *Buchen Sie Ihr Erstgespräch > <https://outlook.office365.com/owa/calendar/kundenterm...@mercatorz.com/bookings/>* > > Sitz: DE-65189 Wiesbaden > Handelsregister: Amtsgericht Wiesbaden, HRA 11324 > > Vertreten durch: MERCATORZ Verwaltungs GmbH > Geschäftsführer: Michael Kempe > Sitz: DE-65189 Wiesbaden > Handelsregister: Amtsgericht Wiesbaden, HRB 32973 > > /Vertraulichkeitserklärung / Legal Notice > Diese E-Mail enthält Informationen, die rechtlich geschützt oder > vertraulich sein können. Sie ist ausschließlich für den angegebenen > Empfänger bestimmt. Sollten Sie nicht der richtige Adressat sein oder > diese E-Mail irrtümlich erhalten haben, informieren Sie bitte > unverzüglich den Absender und vernichten Sie diese E-Mail. Das > unerlaubte Kopieren oder Offenlegen sowie die unbefugte Weitergabe > dieser E-Mail ist nicht gestattet. > > This e-mail contains information that may be privileged or confidential. > It is intended only for the person to whom it is addressed. If you are > not the intended recipient or have received this e-mail in error please > notify the sender immediately and destroy this e-mail. Any unauthorized > copying, disclosure or distribution of the material in this e-mail is > strictly forbidden. > > Schützen Sie den Wald und die Umwelt! Bitte drucken Sie diese E-Mail nur > aus, wenn es nötig ist./ > _______________________________________________ > gnucash-user mailing list > gnucash-user@gnucash.org > To update your subscription preferences or to unsubscribe: > https://lists.gnucash.org/mailman/listinfo/gnucash-user > ----- > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. > -- Derek Atkins 617-623-3745 de...@ihtfp.com www.ihtfp.com Computer and Internet Security Consultant _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org To update your subscription preferences or to unsubscribe: https://lists.gnucash.org/mailman/listinfo/gnucash-user ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.