Banking

FX Forward Contract — Fair Value Movement

Revaluing an outstanding FX forward contract at month-end based on current forward rates.

Account NameTypeDebit ($)Credit ($)
FX Forward — Derivative AssetAsset (+)5,000.00-
Unrealized FX Gain (Trading P&L)Revenue (+)-5,000.00

💡 Accountant's Note

Forward contracts in the trading book are marked-to-market daily. Gains and losses go directly to the P&L. For hedging relationships, gains/losses may go to OCI instead.

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