Time for action – invoicing and receiving payment in Canadian dollars
You worked hard to pursue a prospect in Canada, Quadra Systems. Finally, after tough negotiations, you have landed the contract. This is a great start and you can feel it in your gut that there is huge potential for you with this client, if you execute well. The contract is designated in Canadian Dollars (CAD) and so you need to gear up to invoice in CAD and receive payment in CAD.
Create a new income account with the name Sales (CAD). In the Security/currency field, click on Select… and the Select Currency dialog will open. Select CAD (Canadian Dollar) from the Currency drop-down.
Create a new Accounts Receivable (CAD) account. Select the Security/currency as CAD and the Account Type as A/Receivable.
You need a holding account to show the payment received in CAD, until it is converted to USD. Create a new bank account named Holding Account (CAD) under Current Assets. Select the Security/currency as CAD and the Account Type...
