VT Transaction+ is a highly flexible package. You can change periods backwards or forwards at any time, or change the length of periods. You can enter transactions to any period at any time, or edit transactions at any time. Because of this, VT Transaction+ handles the revaluation of currency amounts in a somewhat unconventional manner.
The balance on an account in VT Transaction+ is always the sum of all the entries in an account. This includes entries that are matched off against each other and entries in all previous years.
When currency rates are changed, VT Transaction+ retranslates the base values of all currency denominated entries in an account (the currency amounts are left unaltered). Hence the account balance is retranslated. Any gain or loss is taken to the exchange differences account in the balance sheet.
The revaluation only applies to currency denominated entries. Typically, these are entries in currency denominated customer, supplier and bank accounts.
There is no net profit and loss account effect when matched off entries are revalued because matched off entries add up to zero by definition.
To see how multi-currency works in practice in VT Transaction+, please refer to the Multi-currency examples.