CURRENCY STATUS

Use this screen to activate or deactivate the European currencies that will be replaced by the Euro (the European Monetary Union's common currency). You can use this screen for currencies that will not be replaced by the Euro, but we do not recommend such use.

Do not use this screen until each new entrant's final Euro exchange rates and final expiration dates have been determined.

Currency

Enter, or use Lookup to select, the three-character currency code. The only codes available in Lookup are those set up in the Maintain Currencies screen. The field to the right displays the 35-character currency formal name.

Currency Status

Note:  We suggest you use the Currency Status group box only for currencies that have a limited period of use for your company. For normal day-to-day functions in Costpoint Multicurrency, the Currency Status screen is not necessary.

Activation Date

Enter the date that you will begin entering transactions in this currency. This date can be the same as the Expiration Date, but cannot be later. This field is optional.

Expiration Date

Enter the last date that transactions will be entered in this currency. This date can be the same as the Activation Date, but cannot be earlier. This field is optional.

Euro Currency Status

Converting to Euro Currency

Select this checkbox if this currency will be absorbed into the Euro (European Monetary Union's common currency).

Selecting this checkbox will activate the following fields: Activation Date, Expiration Date, and Euro-to-Currency Exchange Rate.

Activation Date

Enter the date that you will begin entering transactions in this currency. This date can be the same as the Expiration Date, but cannot be later. This date is not required unless you have selected the Converting to Euro Currency checkbox.

Currency Exchange Rates:  The system will compare this date with the Starting Date for daily rates (in the Enter Daily Rates screen) and the Period Start Date for period rates (in the Enter Period Rates screen). If the Activation Date is after those dates, only then can you save the dates entered on the Maintain Exchange Rates by Period, Maintain Exchange Rates by Date, Enter Period Rates, and Enter Daily Rates screens.

Expiration Date

Enter the last date that transactions will be entered in this currency. This date can be the same as the Activation Date, but cannot be earlier. This field is not required.

Euro-to-Currency Exchange Rate

Enter the number that will be multiplied by the currency's value to achieve the Euro rate. You cannot enter negative numbers; therefore, this rate must be equal to or greater than zero. For currencies that will be absorbed into the Euro, the currency-to-Euro exchange rate was determined by an average of the closing rates at year-end 1998.

Triangulation

Triangulation is a method of creating an exchange rate between two currencies, using a third common rate, when no direct rate (relationship) exists. For those currencies that will be changing to the Euro, you must always use the Euro to establish a rate between it and any other currency.

Example:

Assuming that one unit of the functional currency (determined in the Maintain Currencies screen) is equal to .6 of the selected currency on this screen and assuming that the Euro is equal to .8 of that same functional currency, the Currency-to-Euro Exchange Rate would be 1.334 (.8/.6)

Therefore, the relationship between the selected currency and the Euro is 1.334 (functional currency .6  x  1.334 = .8, the Euro).

Table Information

Changes to this screen update the MU_CRNCY_STATUS table.