Is this multi currency Setup/workflow a good one?

we have a multi-currency situation

as about 95% of our costs appear in local currency pricing/quotations are calculated in local currency naturally
Financial Reports should be reported in local currency as well
Sales Invoices / Customer payments happen in local as well as in foreign currency (one customer normally sticks to on payment currency mainly (always one invoicing currency per customer)

I wonder what would be the best approach for setting this up. Something like the below would be what comes to mind at first (because it spares me to maintain a price list in foreign currency)

  • base currency - local currency
  • price list Standard Selling - local currency
  • Sales Invoice - foreign currency (setting conversion rate correctly when making the invoice)
  • Customer Invoice currency - set to foreign currency
  • A/R account - local currency
  • bank account for payment receipt- foreign currency
  • payment receipt is multi currency, receiving foreign currency, posting local currency to A/R account

after making some first tests this seems work, Some questions I’d love to get some input from others:

  1. Is anybody else using such a setup and might confirm that as a proven ‘real life’ concept?
  2. what advantage would it have to maintain a Selling pricelist in the foreign currency involved here?
  3. or does it make sense to set up a specific Customer Selling pricelist (many of our products are designed by our customers, so we do not sell them to anybody else)

You should set different Receivable account based on customer’s currency. And set that account as default receivable account in customer. In that way, you should use proper multi-currency setup.

If you maintain different pricing for local and foreign customer, then you should maintain different pricing list for each currency.


thanks for your input. I’ll set up an additional A/R for each foreign currency then.

As I usually do not use different prices for customers from different countries and only need to make sure the original price (local currency) is transferred correctly to the foreign currency I guess I can spare the extra foreign currency Selling pricelist for now.

Somehow there seem a sort of built-in exchange rate (I wonder where that comes from and whether it changes or is fixed?). As we are calculating with a fixed fee which we manually adjust from time to time (every 3 month). I figured out that once you add an entry in the “Currency Exchange List” this rate becomes the new default rate.

You can set your own exchange rate in “Currency Exchange” record. Otherwise, system will pick up exchange rate automatically from