Multicurrency Transactions

In a multicurrency environment, you can create transactions in many different currencies. Regardless of the currency of the originating entry, the Workfile Generation program (R48120) and the G/L Transaction Selection program (P48124) retrieve the cost amount from the AA (Actual Amount) ledger of the Account Ledger table (F0911) and place this value in the domestic cost field of the workfile.

In contrast, the system retrieves JD Edwards EnterpriseOne payroll entries from the Employee Transaction History table (F0618). The employee is paid in the currency of the home business unit. This currency is compared to the currencies of the job or work order for which you are billing and to your customer's currency.

For example, if the currency of the job is USD, the currency of the customer is French francs (FRF), and the currency of the home business unit is USD, then the system uses the cost amount (USD) from the F0618 table as the domestic cost amount, and converts the foreign amount. Conversely, if the home business unit is FRF, then the system uses the cost amount (FRF) from the F0618 table as the foreign cost amount and converts the domestic amount. If the home business unit currency is equal to Belgian francs (BEF), then the cost is first converted to USD and then used as the domestic cost amount and the foreign amount is converted.

After the system updates the cost amount in the F4812 table, it calculates the unfixed cost amount using the exchange rate table for the date basis that you specify in the billing constants. The program then retrieves the markup information for the record in the fixed currency, as defined in the billing constants. The program retrieves markup information only for the fixed currency. The fixed cost amount plus the markup amount become the taxable amount of the transaction. The system calculates the unfixed taxable amount using the exchange rate on the fixed taxable amount and then calculates tax and discount rates independently for each of the currencies.

The equations in this section describe the process by which the system calculates domestic and foreign amounts for a nonpayroll-type entry. (Calculations are not necessarily performed in the exact order in which they appear.)