Entering a Sales Order - Currency Card
This page describes the fields on the 'Currency' card of the Sales Order record. Please follow the links below for descriptions of the other cards:
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- Currency
- Paste Special
Currency register, System module
- Default taken from Contact record for the Customer (Sales Currency) or Default Base Currency
- The Currency of the Order (also shown in the footer of the 'Items' card) is shown together with the exchange rate, which you can change in an individual Order if necessary. Leave the field blank to use your home Currency (unless you have set a Default Base Currency, in which case this will be offered as a default and should be treated as your home Currency).
- If you change the Currency after adding Items to the Order, the prices of those Items will be converted automatically and immediately using the appropriate Exchange Rate for the date of the Order. However, if you change the exchange rate, prices already in the Order will not be recalculated automatically. To have prices recalculated in this situation, use the 'Update Currency Price List Items' function on the Operations menu (Windows/Mac OS X) or Tools menu (iOS/Android). If you change the Quotation Date and the Exchange Rate changes as a consequence, prices will be recalculated automatically if you are using the Update Prices on records with Currency when changing Dates option in the Item Settings setting in the Sales Ledger.
- Exchange Rates
- Default taken from
Base Currency Rates setting and/or Exchange Rate register, System module
- By default, these fields will display the exchange rates for the specified Currency on the Order Date. Ensure that these rates are correct before adding Items to the Order to ensure the correct currency conversion takes place.
- If you change the Order Date, the exchange rates will change automatically. The prices of any Items already in the Order will be updated automatically and immediately, providing you are using the Update Prices on records with Currency when changing Dates option in the Item Settings setting in the Sales Ledger.
- You can also change the exchange rates in an individual Order yourself. In this case, the prices of any Items already in the Order will not be updated, so you will need to use the 'Update Currency Price List Items' function on the Operations menu (Windows/Mac OS X) or Tools menu (iOS/Android) to update all prices in the Order.
- If you wish to prevent the changing of exchange rates, select the Prevent Base Rate Changes and/or Prevent Foreign Rate Changes options in each Currency record. If you are using these options, the exchange rates in an Order will still be changed if you change the Order Date.
- The rates specified here will be copied to any Invoices created from the Order if you are not using the Update Base Currency when Invoicing and Update Foreign Currency when Invoicing options in the Account Usage S/L setting in the Sales Ledger and you have selected "From Order" as the Invoice Rate option in the Sales Invoice Settings setting. Otherwise, the current rates will be used instead of the rates specified here.
- One of two conversion methods will be used to calculate prices in Currency. The Dual-Base system will be useful for companies that have offices in two countries that need to report in both Currencies, for companies operating in countries where there is a second Currency (usually the US Dollar or Euro) in common use in addition to the national one, and for companies in the Euro zone who retain their old national Currency for comparison purposes. The second method is a simple conversion from the foreign Currency to the home Currency, applicable to the majority of worldwide Currency transactions. These are described below.
- Exchange Rates (Dual-Base System)
- In the example illustrated above, the Currency of the Order is the Euro. Base Currency 1 is the home Currency (GBP, Pounds Sterling) and Base Currency 2 is the Euro. The fields on the left show in the form of a ratio the exchange rate between the two base Currencies (taken from the record in the Base Currency Rates setting that applies on the Order Date). In the illustration, GBP0.63 buys one Euro.
- Note that European Monetary Union (EMU) regulations specify that the ratios must always show how many units of the home or foreign Currency can be bought with one Euro.
- Exchange Rates (Simple Currency Conversion System)
- In the case of a simple currency conversion system, the Rate and right-hand Base Currency 1 fields are used to show a simple exchange rate between the foreign and home Currencies. In the example illustrated below, the home Currency is US Dollars (USD) and the foreign Currency Japanese Yen (JPY). JPY122.15 buys USD1.00.
- Please refer here for more examples.
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The Sales Order register in Standard ERP:
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