Bank account reconciliation with two different currencies

Hi frenchery , if your MYOB bank account has a positive value at end of year, then you should record a spend money at that date. This will reduce that balance to zero. Allocating that spend to a currency variance account will show that reduction as a loss, which is a realised loss, ie actual and permanent.

The currency variance account is usually set up in your income or cost of sales section, definitely not adjacent to your bank.

The unrealised losses figure will have been calculated by comparing the value in AUD of any foreign currency assets/liabilities, using exchange rates at that date, with the MYOB book value at the same date. 

Reconciling your EUR account in MYOB is tricky because in MYOB it is only in AUD. You may need to keep a separate analysis so that you can see a running balance in both currencies.