About Multiple Currencies for Customers

Customers

When you define multiple currencies for a customer, the currencies are available for transactions related to the customer, and all outward-facing customer documents contain the transactional currencies. These currencies can be defined as Fixed Rate, and default exchange rates can be defined for the currencies.

The customer default currency, specified on the Main tab of the Customers form, is used internally when dealing with summations of customer transaction amounts for things like credit limits, posted balances, and AR aging totals. When converting transactional data for aging purposes, either the historical rate or current rate might be used. In many cases, aging data can be converted to the domestic currency, so the conversion to customer currency works the same with regard to the exchange rate date.

Transactions

These are the transaction functions that support a currency other than the customer default currency:

• Customer Orders, including Estimates, Blankets, and Quick Entry
• Projects and Estimate Projects
• RMAs; only orders of the same currency can be referenced
• Delivery Orders; only orders of the same currency can be referenced
• Pick, Pack, Ship; only orders that share a currency can be grouped

For customer transactions, you can select from all currencies defined for the customer. The currency is then stored with the transaction. Costs continue to be recorded in the domestic currency and prices are recorded in the transactional currency. All subsequent transactions that result from a transaction, for example, invoices or RMAs from an order, use the currency of the originating transaction.

Invoicing

These are the invoice functions that support a currency other than the customer default currency:

• Order Invoicing/Credit Memo; match the order currency
• Consolidated Invoicing; all orders must share a currency and the invoice matches the order currencies
• Invoice/Revenue Milestones; match the project currency
• Progressive Billings; match the order currency
• Price Adjustment Invoices; match the order currency

Invoices are created in the currency of the transactions, or selected from the currencies of the customer for manual invoices. Invoice amounts are recorded in the transactional currency and domestic currency. Any subsequent transactions related to an invoice—for example, credit or debit memos—use the currency of the originating invoice. All invoice information, such as the invoice header, lines, and sales tax, is in the transactional currency. When invoices are posted, the A/R transaction record stores the currency code of the invoice, the amounts in the transactional currency, and an exchange rate to domestic. When invoices are posted, the A/R transaction record is in the transactional currency.

Payments

When you use multiple currencies for a customer, you can select a payment currency independent of the currency of the selected bank code. When converting payment amounts to the domestic currency, the customer account currency is not used. The payment currency is converted to the bank currency, which is then converted to the domestic currency. Transactions involving multiple currencies can be distributed against a payment. These transaction amounts are converted to the domestic currency at the distribution level. The distribution domestic amounts are summed and compared to the header domestic amount to determine if a payment is balanced. Journal entries are recorded in the domestic currency and the AR Posted Transaction is stored in the transaction currency.

Notes and Exceptions

Automatic currency rate updates and customer-specific exchange rates are not included in this feature. Also, only the customer default currency is supported for:

• Customer contracts, including contract pricing
• Automotive contracts
• Service orders (SROs)
• Electronic Data Interchange (EDI)
• Drafts
• Direct Debit
• Letters of Credit
• Transfer Orders

Replacement RMA Lines will have the same currency as the RMA, and only orders using that currency can be placed on the RMA (and original order).

Projects referenced to coitem do not need to share a currency.

The currency used for EC reporting is the customer currency instead of transaction currency.

Any current integrations that make use of the quote or sales order BODs support using only the customer currency.

Customer letters of credit (LCRs) can work against any transaction, regardless of currency. However, the creation of LCRs are limited to the customer account or domestic currency.

Open Credits, Finance Charges, and Non-A/R Distributions are allowed only in the customer account currency.

The AR/AP Payment Offset functionality is available for only transactions using the account currency.

The ability to allow multiple currencies for a customer is not allowed for “Balance Forward” customers.

The currency/bank codes that can be selected for the Draft and Direct Debit payment types are not altered; however, the standard payment functionality applies to those types for the currency/bank codes that are valid.

The Customer Euro Currency Conversion converts only those transactions that are in the customer currency.

The AR Payment Import functionality assumes that the payment currency is the same as the customer currency.

For A/R Payment Credit Memo functionality, the payment currency is set from the credit memo, and the bank code can be set to any value.

The Allow Currency Rate Override setting does not apply to the A/R Payments, A/R Payment Distributions, and A/R Quick Payment Application forms.

The Customer Currency grid is not included on the Multi-Site Customers form.

The Customer Orders Quick Entry form does not include a currency code or exchange rate. Orders entered on this form are created in the default customer currency.

If a CO line is added for a different ship site, the order in that site is created with the currency of the order in the originating site. The currency or exchange rate tolerances are not validated against the other site.