Working with currencies

Path: Business functionality > Finance > Working with currencies · tier official · system finance · narrative reviewed (checked by Opus)

Overview

This section explains how Business Central handles transactions in more than one currency. It has two pages: one on the basic currency setup, and one on keeping exchange rates current.

Start with “Currencies in Business Central”. It describes currency codes, exchange rates (FX rates), how local currency values are calculated, and the additional reporting currency. Then read “Update currency exchange rates”. It covers manual and automatic rate updates, adjusting exchange rates for posted transactions, and the currency exchange rate service for external rates.

Key points

• Currency codes, exchange rates and related settings must be specified before multi-currency transactions can be handled.
• Local currency values are calculated from the exchange rates you set up.
• An additional reporting currency can be used alongside the local currency.
• Exchange rates can be updated manually or automatically.
• A currency exchange rate service can bring in rates from an external source.
• Exchange rates can be adjusted for posted transactions.
• The adjustment process deals with realized and unrealized gains and losses.

Learn pages

• Currencies in Business Central: Learn how to define your local currency and the foreign currencies that your business uses.
• Update currency exchange rates: Learn how to use Business Central to adjust exchange rates for amounts in different currencies.

Videos, posts and code changes

Linked by a Haiku matcher with a grounding quote from the item’s summary (link/topics.ts); machine-generated.

• #10216 Fix Purchase Journal document amount decimal formatting (code change): “Document Amount field uses Currency Code as its auto-format expression”
• #10459 Bug 647298: Incorrect currency conversion rates for new currencies (code change): “Currency exchange rates in the Contoso demo dataset were corrected”
• #10717 Enable amount formatting with currency symbols (code change): “Amount formatting now supports displaying currency symbols or ISO codes”
• #10808 [master] Adjustment Amount is not accurate in the Exch. Rate Adjmt. Ledger Entries page if an Unrealized Gain gest registered and a second adjustment turns into a Loss. (code change): “correctly calculates adjustment amounts in exchange rate adjustment ledger entries”
• #10893 Bug 648568: [29.x] Incorrect currency conversion rates for new currencies (code change): “Currency exchange rates in the demo dataset have been corrected to resolve inaccurate conversion values”
• #10969 [MAIN][All-e]Source Currency Inconsistency for LCY Postings and cash posting on sales documents (code change): “Source currency is now consistently applied to local currency postings and cash posting”
• #11163 [29.x]Adjustment Amount is not accurate in the Exch. Rate Adjmt. Ledger Entries page if an Unrealized Gain gest registered and a second adjustment turns into a Loss. (code change): “Exchange Rate Adjustment process now correctly calculates individual adjustment amounts”
• #11294 [Master]-Source Currency Amount calculation causes discrepancies with Foreign Currency G/L Entries whit Reversal Charge VAT. (code change): “Corrects how the source currency amount is calculated in foreign currency entries”
• #11635 Bugs/Bug 647818 Source Currency Amount FCY GL Entries Reversal Charged (code change): “source currency amount is handled when general ledger entries”
• #11727 Bug 650737: Description for new currencies should be aligned with existing full descriptions (code change): “Currency labels in demo data now include country names”
• #11848 [main] Report 11564, Foreign Currency Layout: foreign currency opening balance is not included (code change): “foreign currency opening balance is not included. Report 11564”
• #12198 [29.x]Source Currency Inconsistency for LCY Postings and cash posting on sales documents (code change): “Fixed source currency handling for LCY postings and cash posting on sales”
• #9254 [Master] Exchange Rate Adjustment filter not working (code change): “Exchange Rate Adjustment filter not working. Codeunit 699”
• #9349 [master]-[ES][Cartera Bills] Applying a foreign-currency payment to a bill that leads to gain-loss entry cannot be reversed (code change): “Reversal of foreign-currency payments with gain-loss entries now works correctly”
• #9686 [Master] Incorrect Payables Account Selected for Unrealized Gain/Loss in Multi-Posting Group FCY Applications. (code change): “Foreign currency unrealized gain/loss posting now selects the correct payables account”
• #9789 [Main]-Payment discount tolerance is doubled when posting a vendor payment (code change): “vendor payments applied to several invoices in foreign currency”
• #9943 [Master]-Purchase invoice in USD with deferral shows 0 “Amount LCY” in Deferral Schedule View” (code change): “Purchase invoices in foreign currency now correctly display”
• How to Add Currency Symbols to Numeric Fields in Business Central. (community post): “configurable currency symbols on numeric fields to help finance users”
• What’s New: Financial Management - G/L Account Revaluations (2024 release wave 1) (video): “GL Account Revaluation; currency revaluation; exchange rate adjustments”

Business Central pages and reports

The pages, reports and queries this hub’s Learn pages name (ms.search.form, API reference), joined to the code by exact object id (data/index/docs-objects.json); a page shows the table it runs on.

• Page 5 “Currencies” · on Table 4 “Currency”
• Page 118 “General Ledger Setup” · on Table 98 “General Ledger Setup”

Source: Microsoft Learn (CC BY 4.0). Descriptions are Learn’s own.