About Multi-Currency Mode
Accounting has adopted its own solution for managing multiple currencies that works alongside Salesforce's own currency management solution. Additionally, you can use exchange rates in Accounting that are provided by Foundations, which can include rates imported automatically from an external rate provider.
See the Salesforce Help for more information on currency management on the Salesforce platform.
See Foundations Exchange Rates Integration for more information on how Accounting uses Foundations exchange rates and Setting up the Foundations Exchange Rates Integration for more information on configuring Accounting to use Foundations exchange rates.
All exchange rates that are created automatically when you enable the Foundations Exchange Rates Integration feature use "Commercial" as the exchange rate type. Currently, Accounting primarily uses the rate type "Commercial", so ensure that you create a "Commercial" rate type for all new exchange rates that you add.
The following concepts are important to understand before you begin configuring multiple currencies within Accounting.
Corporate Currency
Your administrator must specify a corporate currency
, which
reflects the currency in which your corporate headquarters reports. A Salesforce representative initially sets your corporate currency upon
activation of this feature.
See the Salesforce Help for more information.
Active and Accounting Currencies
The currencies in which your Salesforce organization (org) does business are called
active (or org) currencies. Once you activate a currency in Salesforce, you can never permanently
delete it.
The currencies in which your Certinia company does business are called accounting currencies. A new accounting currency must be an active currency
on the underlying Salesforce platform.
The Accounting Currency object is a company-owned object. So, you must create a separate set of accounting currencies within every company in your org.
Account Trading Currency
The currency in which a specific account operates within Accounting and related Certinia apps is called its account trading currency. This is a Certinia custom field on the Account object. The Account Currency field is a standard Salesforce field and is not used by Accounting.
You cannot modify the account trading currency once Accounting transactions exist for this account.
In a single-currency org, this must match the account currency set at company level. In a multi-currency org, this must be one of your active (or org) currencies.
Home and Dual Currency
The main working currency of a Certinia company is its home currency. All documents and transactions must balance in home currency. When you set or change a company's home currency, information about the company (including its home currency and its exchange rates mode) is published to Foundations.
The currency in which your corporate headquarters reports is its dual currency. In some instances, home and dual are the same currency.
You cannot post documents until you have designated both a home currency and a dual currency. Once you begin to post using these currency settings, you can never change them.
Reporting Currency
Depending on your organization's hierarchy some companies might need to report to intermediate parent companies that might have a Home currency different from the Dual Currency in your org. In these cases you can use the Reporting Currency to consolidate or report to these intermediate parent companies. For more information, see About Reporting Currency.
Exchange Rates
See About Exchange Rates.
Document Currency
The currency specified on an invoice, credit note
, cash entry
or journal
is called its document
currency. All documents and transactions must balance in this currency.
Dimension Currencies
You must also specify an accounting currency when you create the following items:
- Customer or Vendor Accounts
- General Ledger Accounts
- Bank Accounts
- Analysis Dimensions 1-4
This is useful when you want to create a summary report on a particular
account, bank, general ledger account or custom analysis dimension.
Posting Documents
When you post a document, the resulting financial transactions are stored in
home, dual, document and all dimension currencies. All the currencies required to convert the document currency must exist in the current company
.
The application ensures that all transactions of a company balance (sum to zero) in document, home and dual currency.