Plaza-i Forward Exchange Contract

Outline

Handles registration, allocation, execution, and evaluation of forward exchange contract transactions.

This module handles registration, allocation, execution, and evaluation of forward exchange contract transactions.

It is linked with Plaza-i Purchase Management, Receivable, and Payable modules.

Features

Makes it simple to manage unallocated portion of forward exchange contracts and perform year-end revaluation.

Main Menu

This module handles registration, allocation, execution, and evaluation of forward exchange contract transactions.

Forward Exchange Contract Entry
Allocation, Delaying, Acceleration, and Cancellation of Forward Exchange Contract
Forward Exchange Contract Voucher Inquiry and Print
Reversing Contract Execution
Exchange Contract Market Value Registration
Exchange Contract Balance Translation Process
Exchange Contract Balance Detail Report
Exchange Contract Summary By Period By Currency

Detail functions

Registration of Forward Exchange Contract Transaction

FEC Voucher Entry Screen

Basic processes such as conclusion, delaying, acceleration, execution and cancellation of forward exchange contract transactions are available. When you concluded a forward exchange contract, you register one forward exchange contract voucher.
For the registered vouchers, you can manage their status by entering actions such as delaying, acceleration, execution and cancellation.
Those actions will be saved as transaction detail (history data). By doing so, balance of forward exchange contract at the end of a specific accounting period can be reported.

Use of Registered Forward Exchange Contract Transaction

You can allocate concluded forward exchange contract transactions and execute them for specific sales or purchase transactions.
Allocation: For instance, if one contract is used for multiple invoices, you can allocate such contract to specific sales or purchases in advance, so that you can avoid any shortage of contract amount at the time of the execution.
Execution: When you make a payment in dollars for import transactions, you execute a corresponding forward exchange contract and buy dollars at the contract rate. Execution here means this execution action of the contract.

Allocation to Advance Received and Advance Payment is Supported

In Sales Order Voucher Entry of Plaza-i Sales Management (SOE) or Purchase Order Voucher Entry of Plaza-i Purchase Management (PUR), you can process allocation for advance received or advance payment transaction data by simply clicking a button.
Multiple forward exchange contracts can be allocated for multiple sales or purchase transactions, that is, one contract can be used for multiple invoices (receivable or payable transactions), or multiple contracts can be allocated for one invoice (a receivable or payable transaction).

Both Automatic Execution and Manual Execution are Available.

Allocated contract transactions will be automatically executed by approval of cash collection in Receivable module (ARS), or payment execution in Payable module (APS). (We call this process “allocation execution”.)

Forward Exchange Contract Market Value Registration

In order to measure outstanding forward exchange balances at fair value based on standard method at the end of a specific accounting period, you can register market value for each contract using the Forward Exchange Contract Market Value Registration menu.
You can output a list of contract balances which shows the status of each balance, “allocated”, “scheduled (but not used)”, and “to be scheduled” at the end of each accounting period (forward exchange contract balance detail).