'Finance' section
In the Finance section, you can set the following values:
The Base System Calculation Unit used across the system, for example, to calculate the receivables and payables.
The Default CAT Calculation Unit used while adding receivables and payables for projects and quotes with values calculated based on CAT analyses.
The Default CAT Job Type used while creating projects and quotes integrated with an external CAT tool.
The Base System Currency used in the calculations performed by the system:
Warning
Changing the Base System Currency will reset the history of currency exchange rates. As a result, any historical financial information for projects, quotes, invoices, etc., will be based on recent exchange rates and thus may be inaccurate.
The exchange rate calculations will be based on the selected currency.
The values in other currencies can automatically be converted into this currency, depending on the view settings.
The base system currency will be used as the default currency for the vendors and clients added via the Import option.
The Rounding Policy used to round the rates in payables or receivables. This policy will be applied to round up rates for all your partners, clients, and vendors. For details, see The Rounding policy in XTRF expand below.
The Fiscal Year Starts. If the fiscal year in your country or company doesn’t start in January, select the appropriate month from the dropdown list.
If you would like invoice numbering in your system to change automatically at the beginning of the fiscal year, update the appropriate scheme in the
Configuration menu > Templates > Numbering Scheme. For details, see the Numbering Schemes section.
The Rounding Policy is a method used by the XTRF Platform to round the rates in payables and receivables. It is a global method which means that this policy will be applied to rates for all your clients and vendors.
Round first option: all rates in the XTRF Platform are rounded before performing multiplication per quantity. The algorithm is: Total Amount = Quantity * Rounded Rate Value.
Example 1.You have a task with ten words without matches, and the word rate value is 0.095. Therefore, the rounded word rate value is 0.10. Total amount = 10 * rounded to 2 decimal points (0.095) = 10 * 0.10 = 1.
Round subtotals option: the rates are rounded to five decimal points instead of two. The algorithm is: Total Amount = Quantity * Rate Value, where the total amount with 5 decimal points is rounded to 2 decimal points.
Example 2.You have a task with ten words without matches, and the word rate value is 0.09567. Total amount = rounded to 2 decimal points ( 10 * 0.09567 ) = rounded to 2 decimal points ( 0.9567 ) = 0.96.
Round last option: the total amount is calculated, and then the result is rounded up. The result is only rounded up if there are more than two digits. The algorithm is: Total Amount = Quantity * Rate Value.
Example 3.You have a task with ten words without matches, and the word rate value is 0.0956. Total amount = rounded to 2 decimal points (10 * 0.0956) = rounded to 2 decimal points (0.956) = 0.96.
The table below presents the differences between the three Rounding Policies in detail. In the example, there are two types of matches:
No Matches, for which 100% of the base rate is paid.
Repetitions, for which, in this case, 30% of the base rate is paid.
For both types, the base rate value is 0.23456, and the quantity is 100 words.
Round first option | Round subtotals option | Round last option | |
|---|---|---|---|
Rate Value | |||
No Matches: 100% Paid | 0.23 | 0.23456 | 0.23456 |
Repetitions: 30% Paid | 0.07 | 0.07037 | 0.07037 |
Rate Value * Quantity (100 words) | |||
No Matches: 100% Paid | 23 | 23.46 | 23.456 |
Repetitions: 30% Paid | 7 | 7.04 | 7.037 |
Total value (a sum of the rate value for both types of matches) | 30 | 30.5 | 30.49 |
Weighted Quantity (Total value / Base rate value) | 127.899 | 130.031 | 130 |