For operations outside of the United States, financial transactions are recorded in UCSF’s PeopleSoft Financial System using the local currency of the country. As part of the month-end close process, transaction amounts recorded in foreign currencies are translated to U.S. dollars and used for our financial reporting purposes. Established procedures in PeopleSoft for foreign currency conversion aim to represent the actual cost of expenses and to minimize gains or losses due to fluctuations in exchange rates over time.
A new reference guide, Understanding How Foreign Currency Amounts are Recorded in the General Ledger, describes UCSF’s procedures for recording transactions in foreign currencies related to established operations in foreign countries. It identifies current Business Units used for foreign operations and also describes how foreign exchange rates are applied during month-end processing. If you have questions, contact the General Accounting Service Desk.