Travelling expenses and Foreign Currency

[noman]

For 2nd query..

yes you will record the entry for change in excange rate..

you will re-measure the 50$ to the rate prevailing at balance sheet sheet date..

now the 50$ will appear as Rs.4,250 (@85)

in case of exchange rate increase to 90...the new value would be Rs.4,500
the entry will be as follows
Cash & Bank (dollar account) Dr. 250
To Exchange Gain Cr. 250


in case rate decrease to 80...the new value would be Rs.4,000
the entry will be as follows
Exchange Loss Dr.250
Cash & Bank Dollar Cr.250



In case of your 1st query.......more information is needed..

is advance given to foreign travelling employees?? or they expend the money and you reimburse them?

when is the expense recorded in your books?? when the employee returns or when you give advance??