SunSystems has the ability to define both the currency converted from and to the Base currency. Base, Second Base and Reporting currencies can equally well occur as Transaction currencies depending on which has been defined as pivot.

For financial reporting with consolidation it may be necessary to define rates to or from another value e.g. Base Value when Transaction is pivot.

Decimal Places refer to the number of decimal places the rate must have.  This cannot be amended during Ledger Entry. 

For example, if the Business Unit Setup is defined for the Triangulation model as follows:

Value 1 – Base GBP

Value 2 – Transaction (mixed currencies)

Value 3 – Second Base EUR, Pivot

Then the following rates are needed:

a)       Each Transaction Currency to EUR

b)       Base to EUR

c)       EUR to each Transaction Currency and Base

If the rate is to be used for posting and revaluation, then the pivot currency must appear as the Convert from Currency Code.

The Reporting Rates tab contains Additional Reporting Rates, numbered 2 to 6.  These are for use in Financial Analysis, Statements and Tables for reporting purposes only.

A daily currency conversion rate applies to a specific calendar date only, the Effective Date. It can be extended to apply for a number of days after this date, as defined in Currency Codes Setup (CN). A daily rate is used to convert a currency value on transactions for this date, or dates.

Daily rates are only used, and can only be created, for a currency if the Use Daily Conversion Rates option is set to Yes for the currency in Currency Codes Setup (CN).

Daily rates are used in Ledger Entry (LE) and Ledger Import (LI), in preference to the rates defined in Currency Period Rates (CNP). Daily rates are also used to convert any discount values calculated by Transaction Matching (TM), Payment Run (PAY), Payment Collection Run and Reconciliation Manager (RM). If you choose to use daily rates for a currency, you are not able to use any period rates for the currency in any of these functions.

A daily rate can remain valid for a number of days after the Effective date. It remains valid for the Number of Days Valid entered for the currency in Currency Code Setup (CN). Day number 1 is the Effective date.

For example, if you created a Currency Daily Rates record with an effective date of 06/01/2001, by entering 07 in this field, the rate is used from 6 to 12 January 2001. By entering 01 in this field, or leaving it blank, the rate is valid for 6 January 2001 only.

You can create any number of daily rates for each currency code. You can define rates for different days and account ranges.

Daily currency exchange rates are only used for a currency, if the Use Daily Conversion Rates option is set to Yes for the currency in Currency Codes Setup (CN).
Click here to see the screenshot

Currency Code From
The code of the currency you want to convert from. This must be a pivot currency because the currency conversions are all performed via the pivot value.

Currency Code To
The code of the currency you want to convert to.

Account From/To
The only account code or range of account codes to which this rate applies. Leave this blank if the rate applies to all codes. If a specified rate exists for an account code, that rate is used in preference.

Effective Date
The date from which the rate applies. This must be entered.

Multiply or Divide
Choose to Multiply or Divide the transaction amount in the From currency by the rate to calculate the To currency.

Conversion Rate
The currency rate that applies to the Effective Date. This rate also applies for the number of days after this date according to the Number of Days Valid entered for the currency in Currency Code Setup (CN).

Conversion Rate Decimal Places
The number of decimal places that are used in the currency conversion calculation.

Rate Tolerance
If this option is chosen, a tolerance check is performed on any rates you enter or rates calculated by the system. This allows you to apply a sanity check to the rates to stop any unrealistic rates being entered and used by mistake.