<?xml version="1.0" encoding="utf-8"?>
<ManualTopic ID="/baanerp/tc/onlinemanual/000086" xml:lang="en">
	<Header>
		<Title xmlns:ssa="http://www.ssaglobal.com" xmlns:HTML="http://www.w3.org/TR/REC-html40">Dependent multicurrency system</Title>
		<Keyword><Level1>Dependent multicurrency system</Level1>
		</Keyword>
	</Header>
	<GeneralSection><Paragraph>You use a dependent multicurrency system in a stable currency environment. For example, if you have enterprise units in different countries or if you want to use <Link href="/baanerp/tf/glossary/glossary#MultiCurrenA.tf" role="glossary">multicurrency accounting</Link> for other reasons. When the Euro is introduced in Europe, European companies can do their accounting in both the local currency and the Euro by using a dependent multicurrency system.</Paragraph>
		<Paragraph>You can use a dependent multicurrency system in both a single site and a multisite (multiple country) SSA ERP environment.</Paragraph>
		<GeneralSection><SectionTitle>Defining the currencies</SectionTitle>
			<Paragraph>The logistic and financial companies in a dependent multicurrency environment must have the same reference currency.</Paragraph>
			<Paragraph>For the logistic company you must only define the reference currency. For the financial companies, one of the home currencies must be the reference currency. The other home currencies can be different.</Paragraph>
		</GeneralSection>
		<GeneralSection><SectionTitle>Dependent calculation</SectionTitle>
			<Paragraph>In the logistic company and the fincancial companies, you must define the exchange rate of each external currency to the reference currency. SSA ERP converts all the external currency amounts to the reference currency.</Paragraph>
			<Paragraph>In the financial companies you must also define the internal currency exchange rates between the home currencies. SSA ERP calculates and registers the amounts in the reference currency. SSA ERP then converts the reference currency amounts to the other home currencies by using the internal exchange rates.</Paragraph>
		</GeneralSection>
		<GeneralSection><SectionTitle>Example of a dependent multicurrency system</SectionTitle>
			<Paragraph>Typically, you use a dependent multicurrency system if the enterprise units of a single logistic company reside in different countries. The enterprise units in each country belong to the financial company defined for that country.</Paragraph>
			<Paragraph>For the logistic company (600) you must only define the reference currency ($). The financial companies (610 and 620) must use this same reference currency. You can choose the other home currencies of the financial companies freely (DM and Euro for company 610, and FR and PTS for company 620).</Paragraph>
		</GeneralSection>
	</GeneralSection>
	<RelatedTopics><SectionTitle>Related topics</SectionTitle>
		<RelTopic><Link href="/baanerp/tc/onlinemanual/000028" role="manual">Currency systems</Link>
		</RelTopic>
		<RelTopic><Link href="/baanerp/tc/onlinemanual/000029" role="manual">Currencies for non-enterprise units</Link>
		</RelTopic>
		<RelTopic><Link href="/baanerp/tc/onlinemanual/000084" role="manual">Single currency system</Link>
		</RelTopic>
		<RelTopic><Link href="/baanerp/tc/onlinemanual/000085" role="manual">Independent multicurrency system</Link>
		</RelTopic>
	</RelatedTopics>
</ManualTopic>
