If we invoice an EU customer in GBP but they pay in euros, the amount showing on my bank statement in GBP differs due to the exchange rate, how do I reconcile the ledger?
We invoice an overseas customer in GBP so the outstanding invoice sits on my sales ledger in GBP. When it is paid however, they pay in their home currency, into our GBP bank account hence once it has been translated by the bank (and a transaction fee charged) the amount I receive does not match the sales ledger. So, when the amount arrives via our bank feed, I can match it to the invoice on my sales ledger, but there will be a difference. What's the best way to then clear this difference so parts of invoices don't show as outstanding on my sales ledger when they are not? Thanks.