Foreign exchange contracts under new UK GAAP
Section 7 of the accounting standard FRS 102 covers foreign exchange contracts and section 30 covers foreign currency translation. On this page you can access a range of articles, books and online resources providing useful links to the standard, summaries, guidance and news of recent developments.
General guidance and information on the accounting standard is available from our FRS 102 page.
Foreign exchange contracts were dealt with in FRS 23 under old UK GAAP. This standard has been superseded by FRS 102.
What's on this page?
- Full-text standard
- Model accounts
- Guidance and support from ICAEW
- Online articles
- Articles and books from the Library
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FRS 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland
As issued by the Financial Reporting Council (FRC) in September 2015. This updated edition incorporates amendments issued in September 2014, February 2015, March 2015 and July 2015. Foreign exchange contracts are covered in Section 7.
More information and links to previous versions and amendments are available on our main FRS 102 page.
Model accounts and disclosure checklists for new UK GAAP
The ICAEW Library can provide model accounts and disclosure checklists for FRS 101, FRS 102, FRS 102 Section 1A, FRS 103 and FRS 105. The examples and checklists cover a broad range of entities, including small companies, charities, groups, LLPs and micro-companies.
ICAEW guidance and support
Ask ICAEW Technical Advisory Service
Get an opinion from the experts. Our experienced technical advisors can help you with your new UK GAAP questions and offer practical advice. Call the advisory helpline on +44 (0)1908 248 250.
Questions we've dealt with recently include:
- I understand there is an option to take a revaluation as deemed cost for tangible fixed assets, when does the revaluation have to be performed?
- What do I do with the revaluation reserve when I change from old UK GAAP to new UK GAAP if I am taking revaluation as deemed cost?
- When do I have to apply FRS 102 to my UK company client?
- How does FRS 102 impact charities?
Find out more about the Technical and ethics advisory helpline, including our opening hours.
Financial Reporting Faculty
Financial Reporting Faculty
The faculty offers assistance and support in IFRS, UK GAAP and other aspects of business reporting. It offers technical briefings and factsheets, IFRS and UK GAAP standards-trackers, plus practical advice from industry experts and working accountants.
The Library provides full text access to a selection of key business and reference eBooks from leading publishers. eBooks are available to logged-in ICAEW members, ACA students and other entitled users. If you are unable to access an eBook, please see our Help and support advice or contact email@example.com.
Interpretation and application of UK GAAP for accounting periods commencing on or after 1 January 2015
Steve Collings (2015)
A detailed, practical guide to applying UK GAAP with specific sections and examples covering:
- Foreign currency translation
Includes discussion of foreign currency issues with examples.
- Functional currency
- Cash flows
- Presentation currency
- Monetary and non-monetary items
- Disclosure requirements.
UK GAAP 2017: Application of FRS 100–104 in the UK
This guide has been fully updated to reflect the application of the new accounting standard in practice. It focuses on each area of the financial statement in detail and explains how they are treated by FRS 102, with illustrative examples. The chapter on foreign currency translation covers:
Some guides and comparisons that we link to may pre-date the latest amendments to this standard. While these resources contain useful information, please treat them with appropriate caution.
Staff Education Note 11: Foreign exchange contracts
Guidance note produced by the FRC highlighting key areas of consideration when transitioning to FRS 102.
Articles are available to logged-in ICAEW members, ACA students and other entitled users.
Articles from other sources
FRS 102: Currency fluctuations and exchange rates - tips and advice
CCH Daily, December 2016
This article focuses on FRS 102 and accounting for foreign currency issues under section 30 foreign currency translation, based on functional currency. It covers primary and secondary indicators, functional currency, reporting transactions outside of the functional currency, revaluation of non-monetary assets, changing functional currency, and goodwill. Available online to Accountancy Daily subscribers or in print from the Library.
Accounting for derivatives under FRS 102
AccountingWEB, June 2015
Detailed article by Steve Collings highlighting differences between FRS 15 and FRS 102, illustrated with step-by-step examples.
Articles and books in the Library collection
To find out how you can borrow books from the Library please see our guide to book loans. You can obtain copies of articles or extracts of books and reports by post, fax or email through our document supply service.
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