Accounting transaction to realize currency gain as income in the period? |WAS >> Re: Understanding the Balance Sheet - Unrealized Gain?

[bunk3m]

Hi all.

I think I understand the unrealized gain now ... sort of. 

So how does one go about doing the double accounting entry to realize
the gain as income in the period? 

If I can't easily find the transactions that make up the unrealized
gain/loss, I would need to do a clearing entry of the aggregate
somehow.   So I can create half of the transaction by creating a revenue
item called Currency Gain/Loss.  But what would the other side of that
transaction be? 

I'm not an accountant so perhaps this is intuitively obvious for the
accounting folks. 

I suspect this is something to do with the currency asset value but I
got rid of all the last of the foreign currency and now have a zero
balance in that account. 

Thanks again for everyone's help.

Cheers!
B.

On 22.03.2013 10:42 , Derek Atkins wrote:
> Nope, the Unrealized Gain is literally a change-in-value of an asset
> due to a change in price (exchange rate).
> -derek