Previous  Next          Contents  Index  Glossary  Library

Step 2 - Enable and/or Define Reporting Currencies

To use MRC, you may need to enable and/or define additional currencies if the currency you want to use for a reporting set of books is not already enabled or does not appear in the list of predefined currencies. In addition, you need to enable and/or define any currencies you expect to use to enter transactions.

See: Defining Currencies

Definitions

Throughout this guide, we refer to currencies in one of three contexts -- primary functional currency, reporting functional currency, and transaction currency. Each is explained below:

Primary Functional Currency: the currency you use to record transactions and maintain your accounting data within Oracle Applications. The primary functional currency is generally the currency in which you transact most of your business and the one you use for legal reporting.

Reporting Functional Currency: a currency other than your primary functional currency for which you need to report accounting data. For example, as of January 1, 1999, the new pan-European currency, the Euro, will become effective. If you need to report in the Euro currency, you will need a reporting set of books with the Euro as the functional currency. Therefore, you need to enable the EUR currency.

Transaction Currency: the currency in which a transaction originates. For example, if you are a Canadian organization and you trade with organizations located in Japan, you must enable the Japanese Yen if you will be issuing purchase orders, generating invoices, paying bills, and receiving payments in Yen.

         Previous  Next          Contents  Index  Glossary  Library