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 One or more individuals in your organization who can configure and customize the application. Users assigned the System Administrator profile have administrator privileges. must specify a corporate currency The Salesforce currency in which your corporate headquarters reports revenue., 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 A deployment of the Salesforce/Certinia applications with a defined set of licensed users. Your organization (org) includes all of your data and applications, and is separate from all other orgs. (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 A self-balancing accounting unit within your organization. does business are called accounting currencies. A new accounting currency must be an active currency The currencies in which your Salesforce CRM organization does business. Sometimes called "organization" or "org" currencies. on the underlying Salesforce platform.

The Accounting Currency object is a company-owned object Custom object that only exists within the context of a specific company.. 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.

Note:

You must create a corresponding accounting currency record for every currency that you plan to use in Accounting. In other words, you must create an equivalent accounting currency record for every account trading currency specified on your customer and vendor accounts.

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 The currency, other than Home or Dual, that a company uses to report to a higher intermediate company within your organization's hierarchy. to consolidate or report to these intermediate parent companies. For more information, see About Reporting Currency.

Warning:

If you enable a reporting currency, and have unmatched documents without reporting values, we recommend that you update these documents before running cash matching. Otherwise, when you match these documents to transactions that have reporting values (for example, matching an invoice to a cash entry), the resulting cash matching journals are created without reporting values.

If you cannot update unmatched documents that do not have reporting currency values, we recommend that you cancel or credit them before enabling the reporting currency. Once you have enabled the reporting currency, you can duplicate and post the unmatched documents in bulk from the list views.

Exchange Rates

See About Exchange Rates.

Document Currency

The currency specified on an invoice A commercial document issued by a seller to a buyer, indicating the products, quantities and agreed prices for goods or services that have already been provided. You issue sales invoices and receive payable/purchase invoices., credit note Document used to rectify errors made on an invoice which has already been processed and sent to a customer. Sometimes called a credit memo. You issue sales credit notes and receive payable/purchase credit notes., cash entry A record of money received from, or refunded to, your customers, often in the form of cash or a check. Also used to record payments to and refunds from vendors. or journal A document that enables you to make corrections or adjustments to your existing accounting data. 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 The general ledger will normally include general ledger accounts (GLAs) for items such as income, expenses, assets, liabilities, and reserves. 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 The currency in which values are entered on a document. must exist in the current company The company in which you are working. This is represented by the company queue to which you, and new instances of objects you create, are assigned..

The application ensures that all transactions of a company balance (sum to zero) in document, home and dual currency.