How are period rates applied?

Several currency period rates can be defined to convert from the pivot currency to a particular currency. For example, there may be a number of rates defined to convert from GBP to EUR, for different account and period ranges.

When a transaction is entered that requires conversion, the system searches for the most appropriate conversion rate. It uses this rate to convert the amount, unless you override this by entering a rate manually on the transaction.

If you enter a rate manually and tolerance checking applies, the rate you enter is checked to ensure it is within the tolerance set for the period rate. The difference between the rate you enter and the predefined period conversion rate must be within the tolerance percentage. This prevents you from entering a widely inaccurate rate by mistake. See How Does Tolerance Checking Work?

Uwaga:  If daily rates are being used for a currency, the rates defined in Currency Period Rates are not used in Ledger Entry (LEN) and Ledger Import (LIM).

The Currency Rate Search

The following steps are used to search for the appropriate conversion rate to apply:

  • it looks for a conversion rate defined for an accounting period and an account code (or range) that matches those on the transaction.
  • if the above has not been defined, it searches for a conversion rate with an account range that includes the account to which the posting is being made, and where the accounting period is blank.
  • if this fails, it then searches for a conversion rate for the appropriate accounting period alone, where a range of accounts has not been specified.
  • Finally, if none of the above matches can be found, the system searches for a global conversion rate that has a blank account code range and accounting period.

If you are using currency rate types:

  • Search for a conversion rate defined for an accounting period and an account code (or range) that matches those on the transaction and a currency rate type. If a rate is not available on the currency rate type the default currency rate type is used.
  • Search for a conversion rate defined for an account range that includes the account to which the posting is being made, where the accounting period is blank and where a currency rate type exists. If a rate is not available on the currency rate type the default currency rate type is used.
  • Search for a conversion rate for the appropriate accounting period alone, where a range of accounts has not been specified and a currency rate type exists. If a rate is not available on the currency rate type the default currency rate type is used.
  • If none of the above matches can be found, SunSystemssearches for a global conversion rate that has a blank account code range and accounting period, where a currency rate type exists. If a rate is not available on the currency rate type the default currency rate type is used.