Uses of currency codes

Use currency codes to identify the currencies that are used by your organization.

This table shows the uses of currency codes and the description of each:

Currency	Description
Functional	Functional currency is the operating currency that is assigned to a Global Ledger accounting entity. The functional currency is not required to be the same as the local currency.
Account	Account currency is assigned to a global ledger posting account to restrict the use of the account to a single currency. For example, an organization maintains a bank account in France. It can assign EUR to the posting account so only transactions in EUR can be posted.
Transaction	Transaction currency is the currency in which a business transaction is conducted, for example a purchase, sale, lease, asset purchase, or depreciation.
Alternate	Alternate currency is an additional currency that is assigned to an accounting entity. The alternate currencies are calculated the same as the functional currency. You can define up to three alternate currencies. Alternate currencies can be revalued and translated.
Enterprise	Enterprise currency is a currency used for reporting by all the accounting entities that are associated with the finance enterprise group. You can define up to five enterprise currencies. Enterprise currencies can be revalued and translated.