Multiple Reporting Currencies Overview
Use Multiple Reporting Currencies (MRC) to maintain your transactions and account balances in multiple currencies. For example, you can maintain a primary set of books in CAD (Canadian Dollars) and have General Ledger automatically maintain reporting sets of books in USD (U.S. Dollars), FRF (French Francs), and the Euro -- the single currency of the European Monetary Union (EMU).
From any of your reporting sets of books, you can:
- Perform online inquiries and produce any of the standard General Ledger reports, in your reporting currency, without first having to perform a separate translation operation.
- Use the Financial Statement Generator (FSG) to create custom reports in your reporting currencies.
- Consolidate a reporting set of books directly to a parent set of books, bypassing the need to separately translate the balances in your subsidiary's primary set of books.
Attention: If you currently use Dual Currency and Weighted Average Rates, we recommend that you switch to MRC as soon as practicable. While General Ledger still includes the fields, setup options, programs, and reports needed to support those organizations that currently use Dual Currency and Weighted Average Rates, information about these features is no longer included in this user's guide. Also, MRC will completely replace Dual Currency in a future release of Oracle General Ledger.
If you are a new customer, do not use the old Dual Currency feature. Use MRC instead.
Guidelines for Using MRC
MRC is specifically intended for use by organizations that must regularly and routinely report their financial results in multiple currencies. MRC is not intended as a replacement for General Ledger's translation feature. For example, an organization with a once-a-year need to translate their financial statements to their parent company's currency for consolidation purposes, but no other foreign currency reporting needs, should use General Ledger's standard translation feature instead of MRC.
Additional Information: General Ledger's translation feature is used to translate amounts from your functional currency to another currency at the account balances level. General Ledger's Multiple Reporting Currencies (MRC) feature is used to convert amounts from your functional currency to a reporting currency at the transactions level.
Typically, you should consider using MRC when:
- You operate in a country whose unstable currency makes it unsuitable for managing your business. As a result, you need to manage your business in a more stable currency and still be able to report your transactions and account balances in the unstable local currency.
- Your company is multinational, and you need to report financial information in a common functional currency other than that of the transaction or your primary functional currency.
- You operate in a country that is part of the European Monetary Union (EMU), and you want to concurrently report in Euro in preparation for the single European currency.
See Also
Understanding MRC
Using MRC with General Ledger
Multiple Reporting Currencies
Overview of Financial Statement Generator
Overview of Multi-Currency Accounting
