Your company may need to work with your customers and vendors in their own currencies, which may be different than your company's base (domestic) currency. The system makes this possible through the following multi-currency features:
Typically, system users of multi-currency tend to fall into two categories:
When you run the revaluation utility, you can post changes as unrealized. For example, you may decide at the end of March that the balance sheet needs to be valued at a certain rate, and this rate holds for all revenue and expense accounts for April. You enter the new rate on the Currency Rates form, and the reversing date for the journals created by the revaluation utility would be April 30. As a general rule, you should always date the reversals prior to the next change of the exchange rate.
Even if your company uses fixed rates for specific transactions, you must enter a buying and selling exchange rate on the Currency Rates form. These rates should reflect a current value to use as the default in case a customer order or purchase order transaction is accidentally posted without a fixed rate. (The default customer order exchange rate maps to the selling rate, while the default purchase order exchange rate maps to the buying rate.) Each time you update the rates on the Currency Rates form, run the revaluation utility to highlight any posted invoices that do not have a fixed rate.
If your company uses a hybrid system (that is, using both the system exchange rate and orders with fixed rates), the rate should be managed as described above.
Converting the Domestic Currency to the euro
Customer Orders and Invoices in Foreign Currencies
Setting Up the Euro Currency Code
About Currency Conversions for Transfer Orders