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<ManualTopic ID="/baanerp/tc/onlinemanual/000056" xml:lang="en">
   <Header>
      <Title>To use currency exchange rate types</Title>
      <Keyword type="header" order="d1e1447780">
         <Level1>Exchange rates</Level1>
      </Keyword>
   </Header>
   <GeneralSection>
      <List>
         <ListIntro>Use the currency exchange rate types to assign different <Link href="/baanerp/tc/glossary/glossary#CurrenRates_tc" role="glossary">currency exchange-rates</Link> to:</ListIntro>
         <ListItem>Different invoice-to
		  business partners.</ListItem>
         <ListItem>Different types of
		  transactions, such as purchase orders, sales invoices, internal calculations,
		  for example, and intra-European Union reporting.</ListItem>
      </List>
      <Paragraph>You must define at least
		one exchange-rate type for a company, in the <GUIRef href="/baanerp/tc/mcs/tcmcs0140m000" role="session">Exchange Rate Types (tcmcs0140m000)</GUIRef> session.</Paragraph>
      <Paragraph>In the <Link href="/baanerp/tc/emm/tcemm1170m000" role="session">Companies (tcemm1170m000)</Link> session, you can select the
		company's default exchange rate types to be used for sales transactions,
		purchase transactions, internal calculations, and various types of reports that
		you must submit to the authorities.</Paragraph>
      <Paragraph>You assign currency
		exchange-rates to a currency exchange-rate type in the <GUIRef href="/baanerp/tc/mcs/tcmcs0108m000" role="session">Currency Rates (tcmcs0108m000)</GUIRef> session.</Paragraph>
      <GeneralSection>
         <SectionTitle>Default company exchange rates</SectionTitle>
         <Paragraph>In the <Link href="/baanerp/tc/emm/tcemm1170m000" role="session">Companies (tcemm1170m000)</Link> session, you can select the
		  company's default exchange rate types to be used for sales transactions,
		  purchase transactions, internal calculations, and external reporting.</Paragraph>
      </GeneralSection>
      <GeneralSection>
         <SectionTitle>Reporting rate types</SectionTitle>
         <Paragraph>In the <Link href="/baanerp/tf/gld/tfgld0128m000" role="session">Ledger Account Settings by Individual Account (tfgld0128m000)</Link> session, you can define exchange rate types to be used
		  for reporting.</Paragraph>
      </GeneralSection>
      <GeneralSection>
         <SectionTitle>Business partner exchange rates</SectionTitle>
         <Paragraph>You select a currency
		  exchange-rate type for an invoice-to or invoice-from business partner in the <GUIRef href="/baanerp/tc/com/tccom4112s000" role="session">Invoice-to Business Partner (tccom4112s000)</GUIRef> or the <GUIRef href="/baanerp/tc/com/tccom4122s000" role="session">Invoice-from Business Partner (tccom4122s000)</GUIRef> session.</Paragraph>
      </GeneralSection>
      <GeneralSection>
         <SectionTitle>Transaction exchange rates</SectionTitle>
         <Paragraph>You must select
		  default currency exchange-rate types for a company's sales, purchase, and
		  internal transactions in the <GUIRef href="/baanerp/tc/emm/tcemm1170m000" role="session">Companies (tcemm1170m000)</GUIRef> session.</Paragraph>
      </GeneralSection>
      <GeneralSection>
         <SectionTitle>Internal exchange rates</SectionTitle>
         <Paragraph>ERP Enterprise uses the internal exchange rates to
		  convert amounts of all transactions other than sales and purchase transactions.
		  In a dependent multicurrency system, ERP Enterprise also uses the internal exchange rates for
		  cost price calculations.</Paragraph>
      </GeneralSection>
      <GeneralSection>
         <SectionTitle>External exchange rates</SectionTitle>
         <Paragraph>In all EU countries,
		  for the <Link href="/baanerp/tc/glossary/glossary#SalesListin_tc" role="glossary">European sales listing</Link> and the <Link href="/baanerp/tc/glossary/glossary#Intrastat_tc" role="glossary">Intrastat report</Link>, foreign currency amounts must be
		  converted to the local currency amounts, which are often in euros.</Paragraph>
         <Paragraph>The rules for the
		  currency rates to be used can differ between the countries. In some countries
		  it is allowed to use your internal company rates and in other countries you
		  have to use specific exchange rates, for example, the rates used by the
		  European Central Bank.</Paragraph>
         <Paragraph>For each financial
		  company, you can select the default external exchange rate that must be used,
		  for example, for the <Link href="/baanerp/tc/glossary/glossary#Intrastat_tc" role="glossary">Intrastat report</Link>, in the <GUIRef href="/baanerp/tc/emm/tcemm1170m000" role="session">Companies (tcemm1170m000)</GUIRef> session. The EU tax handling sessions are set up in
		  such a way that you can generate the amounts to be reported both as internal
		  values for your own audits, using the transaction exchange rates and as
		  declaration values using the prescribed external exchange rates. For details,
		  refer to <Link href="/baanerp/tc/onlinemanual/000068" role="manual">To use the external exchange rate type</Link>.</Paragraph>
      </GeneralSection>
      <GeneralSection>
         <SectionTitle>Multicompany exchange rate types</SectionTitle>
         <Paragraph>The companies of a
		  multicompany structure must share the exchange rate types (tcmcs040) table. You
		  must select the same default currency exchange-rate types for the companies
		  sales, purchase, and internal transactions in the <GUIRef href="/baanerp/tc/emm/tcemm1170m000" role="session">Companies (tcemm1170m000)</GUIRef> session.</Paragraph>
      </GeneralSection>
   </GeneralSection>
   <RelatedTopics>
      <SectionTitle>Related topics</SectionTitle>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000030" role="manual">Currencies - overview</Link>
      </RelTopic>
      <RelTopic>
         <Link href="/baanerp/tc/onlinemanual/000068" role="manual">To use the external exchange rate type</Link>
      </RelTopic>
   </RelatedTopics>
</ManualTopic>