Business Unit Setup - Value 1 Entries

Value 1 properties refer to the first of the four currency values that can be held on each transaction. This is the base currency, also known as book currency, and is a fixed currency for the business unit. It is the only mandatory currency value required on every transaction and is usually the national currency of the country in which the business unit is based.

  1. Complete this information in General:
    Base Currency Name
    The name to be used to identify the base currency.
    Note:  After you have entered the required details up to this point, the Business Unit Create form is displayed.
    Base Currency
    The currency code of the base currency for the business unit. A base currency value is required on every transaction that enters the system.
    Note:  If this currency has not been defined using Currency Codes (CNC), it is added automatically.
    Base Currency Post Rule
    The posting rule that controls whether or not the base currency value must be entered manually on each ledger posting transaction. Two options are available for the base currency:
    • Must be entered - this option forces a base currency value to be entered manually on every journal transaction.
    • Calculated if not entered - this option means the base currency value can be entered manually, or if it is not entered it is calculated automatically from the other currency values and rates entered, via the pivot currency.
    In a multi-currency environment this defaults to the Calculated if not entered option to allow the base currency value to be calculated from the other currency details available.
    Base Currency Amt Dec Places
    The number of decimal places that can be entered for the base currency value. This can be from 0 to 3, depending on the currency.
  2. Complete this information in Amount Balancing:
    Base Currency Amount Balancing
    The base currency values on all the transactions in a journal must net to zero to ensure the ledger is always balanced. This means the total of the debit transactions must equal the total of the credit transactions. Sometimes these totals may not be exactly the same, for example because of currency conversion rounding differences. This option determines how this imbalance is corrected. Two options are available:
    • Manual - the user must manually balance the base currency values in the journal.
    • Automatic - the system posts the amount of the imbalance to one of the Base Currency Balancing accounts, depending on whether the difference is a debit or credit value.
  3. Save your changes.