Currency codes
Currency codes represent any currency in which you conduct business. You must define a currency code for each base, account, transaction, or report currency you use.
Currency codes represent the different currencies that are valid for use in all Lawson applications. You must establish at least one currency code before defining the General Ledger company.
Ways currency codes are used
Use currency codes to identify the currencies you use. Based on the currency code specified and the exchange or translation rates defined for the currency code in the currency table assigned to the company, the Currency application exchanges, revalues, and translates currency amounts to the company base currency. If the company uses reporting currencies, the Currency application also exchanges currency amounts to the appropriate company reporting currencies.
You can use any currency code as base currency, account currency, transaction currency, or report currency.
| Currency | Description |
|---|---|
| Base |
Base currency is the functional operating currency assigned to a General Ledger company. Base currency does not need to be the same as the local currency. |
| Account |
Account currency is the currency assigned to a General Ledger detail account to store non-base currency amounts. For example, a US company maintaining a bank account in France might want to assign EUR to the cash account where the bank account balances are posted. The account currency defaults on General Ledger transactions and is used to calculate account amounts if the account currency is different from the company base currency. |
| Transaction | Transaction currency is the currency in which a business transaction is conducted. For example, a purchase, sale, lease transaction, asset purchase, or depreciation. |
| Report | Report currency is an additional currency assigned to a company or activity group for reporting and analysis only. The report currencies are calculated in the same manner as the base currency. You can define up to two report currencies. Report currencies can be revalued and translated. |