If you purchase from a vendor in one currency and submit payment in another currency, you can apply the payment to the purchase.

If you apply an entry (Entry 1) in one currency to an entry (Entry 2) in a different currency, the posting date on Entry 1 is used to find the relevant exchange rate to convert amounts on Entry 2. Exchange rates are maintained in the Currency Exchange Rates window.

To apply vendor ledger entries in different currencies to one another

  1. In the Search box, enter Payment Journal, and then choose the related link.

  2. Fill in the first journal line using a currency code.

  3. On the Actions tab, in the Functions group, choose Apply Entries.

  4. Select the line with the entry you want to apply to the entry in the payment journal. On the Navigate tab, in the Application group, choose Set Applies-to ID and select the entry you want to apply to.

  5. Choose the OK button to return to the payment journal.

  6. On the Actions tab, in the Posting group, choose Post to post the payment.

Important
When you apply entries in different currencies to one another, the entries are converted to LCY. Even though the exchange rates for the two relevant currencies are fixed, for example between SEK and EUR, there may be a small residual amount when converting these foreign-currency amounts to LCY. These small residual amounts are posted as gains and losses to the account specified in the Realized Gains Account or Realized Losses Account field in the Currencies window. The Amount (LCY) field is also adjusted on the relevant vendor ledger entries.

Tip

See Also